U.S. court orders Fundsz operators to pay over $30M in crypto algorithm fraud case

A U.S. court has ordered the operators of Fundsz to pay more than $30 million in restitution after the U.S. Commodity Futures Trading Commission charged them in 2023 with soliciting investors by touting purported algorithm-based returns in cryptocurrencies and commodities, The Block reported. According to the court, the operators spread false claims about Fundsz’s expected returns, past trading performance and loss risks, and falsely said investor funds could be traded using a proprietary algorithm and later withdrawn with interest.