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David Carmona Receives Prison Sentence for Fraudulent Cryptocurrency Operation David Carmona, the mastermind behind the cryptocurrency Ponzi scheme IcomTech, has been sentenced to 10 years in federal prison for his role in orchestrating a conspiracy to commit wire fraud. The sentencing follows Carmona’s guilty plea to charges that he defrauded investors by promising significant financial returns through alleged crypto trading and mining activities—claims that were entirely false. Crypto for Beginners: Exploiting the Working Class According to United States Attorney Damian Williams, Carmona's scheme targeted working-class individuals, preying on their hopes for financial independence. “Carmona lured people into a lie,” Williams stated in an official release. Investors were told that their contributions would be invested in profitable cryptocurrency ventures and that their funds would double within six months. However, these promises were entirely fictitious. “In reality, IcomTech was doing no such thing,” Williams explained. “When the scheme eventually collapsed, the victims were left empty-handed.” Carmona's sentence of 121 months in prison, accompanied by three years of supervised release, signifies the end of his attempts to con people. Lavish Expos to Conceal a Ponzi Scheme Operating between mid-2018 and late 2019, IcomTech accumulated approximately $8.4 million from unsuspecting investors. Carmona, along with other IcomTech promoters, frequently hosted extravagant expos in both the United States and abroad to recruit victims. They arrived at these events in luxury cars, donned designer clothing, and flaunted their wealth to create the illusion of success and financial gain. These events, designed to lure investors, painted a picture of prosperity, but the reality was starkly different. Victims who initially believed in IcomTech’s promises soon began experiencing difficulties in withdrawing the profits they were shown on the company’s online portal. The IcomTech team frequently delayed withdrawals, imposed hidden fees, or outright refused requests, citing various excuses. The downfall of IcomTech and the emergence of valueless tokens. As complaints mounted, Carmona and his team sought new ways to sustain the faltering operation. They introduced a token called “Icoms,” falsely claiming that it would soon be accepted as a valid payment method by various companies. However, the tokens held no actual value, further deepening the financial losses for investors. By the end of 2019, IcomTech had collapsed entirely, ceasing all payments to its investors. The company’s implosion left victims with worthless Icoms and significant financial losses. Legal Repercussions for IcomTech’s Leadership Carmona’s conviction is not the first tied to IcomTech’s fraudulent activities. In January, former IcomTech CEO Marco Ruiz Ochoa was sentenced to five years in prison for his involvement in the Moreover, in March, two primary instigators of the fraud, David Brend and Gustavo Rodriguez, were found guilty of conspiracy to commit wire fraud. Carmona's sentencing in October 2023 brings a close to one of the more infamous cryptocurrency Ponzi schemes, offering a stark reminder of the risks posed by fraudulent financial ventures in the rapidly evolving digital currency landscape. Bitcoin Breakthrough