CFTC Sues Debiex for Allegedly Misappropriating $2.3 Million in Customer Funds

According to Foresight News, the US Commodity Futures Trading Commission (CFTC) has filed a civil enforcement action against digital asset platform Debiex in an Arizona district court, accusing it of misappropriating $2.3 million in customer funds for digital asset commodity trading through romance scams. The CFTC complaint alleges that Debiex's anonymous administrators or managers gained trust by spreading false information, establishing friendly or romantic relationships with potential clients, and then persuading them to open trading accounts and provide funds on Debiex. From March 2022 to the present, Debiex has accepted and misappropriated approximately $2.3 million from about five clients. In the lawsuit against Debiex, the CFTC seeks compensation for defrauded clients, restitution of ill-gotten gains, civil penalties, trading bans, and a permanent injunction against further violations of the Commodity Exchange Act (CEA) and CFTC regulations.