CEO Convicted in Transnational Crypto Futures Scheme

The former CEO of an investment firm, Peter Kambolin, pleaded guilty to a fraudulent "cherry-picking" scheme in which he misappropriated profitable trades for himself and caused losses to his investors. Kambolin, who marketed his firm as offering algorithmic trading strategies involving futures contracts, engaged in the scheme between January 2019 and November 2021. He allocated profits and losses from futures trades to benefit his own accounts unfairly, while misrepresenting the trading strategies to clients. Kambolin used the scheme's proceeds for personal expenses and transferred funds to foreign bank accounts. He faces a maximum penalty of five years in prison.