The head of the Commodity Futures Trading Commission (CFTC) has initiated a comprehensive investigation in the domain of cryptocurrencies suspected of being fraudulent involving 15 different tokens, among which one is the memecoin BEN. This inquiry has resulted in a subpoena being put to Hit Network, a crypto-oriented media company once linked to Ben Armstrong, who is widely known in the crypto community as “BitBoy.”
CFTC’s Investigation Focuses on Individuals Suspected of Fraud
The issuance of the subpoena by the CFTC on the 16th of July seems to imply the requirement of the trading information and the digital wallets connected with the 15 tokens. This lends the idea that there is an investigation carried out by the agency on individuals under suspicion of fraudulent activities and other illicit activities with digital currencies.
Even though Armstrong’s name is not directly mentioned in the order, the coins in question were frequently showcased in his videos. Armstrong, among other things, had been presenting the tokens in a big way among video clips like one that showed that one might raise by a fifty-digit times increase. In fact, these videos, except for those with the token BEN, were released under the BitBoy Crypto. BitBoy Crypto was formed before or during March 2021 when the Hit Network was established with Armstrong as the show’s host.
Armstrong’s Tumultuous Departure from Hit Network
Armstrong parted ways with Hit Network in a distressing way when the CEO, T.J. Shedd, blocked him last August due to the issues around his substance abuse. Armstrong confessed to taking diet pills and steroids, saying he did not take hard drugs, but it was still painful. After breaking up with the Hit Network, Armstrong was taken away while trying to repossess a Lamborghini that he had a disagreement with a former business partner. For now, he is still the person engaged in legal disputes with Hit Network regarding his dismissal and the car.
Armstrong Claims Fellow Employees Hijacked BitBoy Brand
Armstrong publically declared that the BitBoy Crypto financial control was taken over by his former colleagues in 2020, alleging the same accusations that he has made on social media. “I have constantly asked for the last 1 year for people to listen to me. I was almost set aside in this industry by all of them. And now, most of those people will feel the weight of their betrayals as many of them will end up being connected.” (Coindesk).
He was recognized in the Hit Network for his broadcasting of YouTube videos in which he supported various tokens, each of them, on the other hand, ensured impressive ROIs for the investors. But the majority of the tokens turned out to be quite disastrous in the end. He accepts his involvement in the paid promotions of crypto projects, some of which unfortunately were found to be scams but he states that they were not his initiative. Additionally, he gave the sum of $10,000 to the investigator, ZackXBT, who revealed the non-disclosed promotions.
The BEN Token and Armstrong’s Involvement
In the list of tokens that were screened by the CFTC, you will find two main ones: BEN, on which was launched by ben.eth, a hidden personality, in May 5, 2023 of his life, and the other, which is an Armstrong token. After BEN was formed, Armstrong was the first person to announce his partnership with it and hence, took over the position of CEO. Nevertheless, he ceased his cooperation with the project on June 5. Insight from Hit Network sources revealed that Armstrong’s link with BEN was the main reason of him leaving, as other company executives were not for their coin been connected to the business.
