Virgil Sigma and VQR Manager Stole $54 Million From Investors
The founder of two cryptocurrency hedge funds, Stefan He Qin, was sentenced to 7.5 years in prison for defrauding investors out of $54 million using the Ponzi scheme.
According to a September 15 report by the US Department of Justice, US District Judge Valerie Caproni sentenced Qin to 90 months in federal prison.
Between 2017 and 2020, 24-year-old Stefan He Qin owned and operated two cryptocurrency investment funds – Virgil Sigma and VQR.
The Justice Department discovered that since 2017, Qin has been stealing investor money from the Virgil Sigma fund to pay for personal expenses. And in order not to provoke suspicion among investors, he faked the account statements and tax documents.
In addition, in December 2020, Qin also embezzled money from VQR investors.
On February 4, 2021, Qin pleaded guilty to only one count – securities fraud.
In a recent statement by the U.S. Department of Justice, Attorney Audrey Strauss said:
“Stefan He Qin took more than $54 million from investors with his brazen and large-scale scheme, for which he was sentenced to seven and a half years in federal prison.”
Recently, Former director and promoter of the now defunct cryptocurrency exchange and lending Ponzi platform Bitconnect, Glenn Arcaro, has pleaded guilty of fraud. He is obliged to pay the investors $24 million.