David Carmona, the founder of the cryptocurrency Ponzi scheme called IcomTech, has been sentenced to 10 years in prison for participating in a conspiracy to commit wire fraud. According to the U.S. Attorney's Office, Carmona was the "mastermind" behind the scheme, which lured people into parting with their hard-earned money under the pretext of investing in cryptocurrency trading and mining.
IcomTech promised its investors a doubling of profits every six months, but in reality, no trading or mining activities were carried out. The prosecution claims that Carmona exploited the trust of his victims, promising them financial freedom, while in fact, the company failed to deliver on its promises. As a result, many investors lost all of their investments.
The total losses amounted to approximately $8.4 million, and the scheme operated from mid-2018 to late 2019. Carmona and other promoters held lavish events in the U.S. and abroad, showcasing expensive cars and luxury clothing to convince potential investors of the success of their investments. When investors began demanding their "profits," they were often denied, with various excuses being given, along with the introduction of additional hidden fees.
In an attempt to raise more funds, IcomTech launched a token called "Icoms," claiming it would be accepted by various companies, but the token turned out to be practically useless, leading investors to incur even greater losses.
Carmona pleaded guilty to conspiracy to commit fraud in December 2023.
