While Shrem, Ulbricht Enjoy Cults of Personality, Shavers Abandoned by Bitcoin Community

Trendon Shavers earned a lenient sentence through good faith efforts to right the wrongs he did while improperly managing the Bitcoin Savings & Trust, Bitcoin’s first federal securities case, according to his sentencing judge.
That’s news the Bitcoin Community, which has long viewed Shavers as a no more than a fraudster, likely won’t heed.
Bitcoin Savings & Trust, initially called First Pirate Savings & Trust, ultimately stripped investors of $4.5 million. Shavers faced 40 years in prison before a plea deal brought his maximum sentence to 41 months.
Shavers’ $4.5 million ponzi scheme netted him approximately $220,000 which he spent on groceries, rent and car payments, according to court documents. Much of his profit was lost due to trading losses.
‘Applying a modern spin to an age-old fraud, Trendon Shavers used a bitcoin business to run a classic Ponzi scheme,’ according to prosecutor, U. S. attorney Preet Bharara.

This post was published at Crypto Coins News on 26/07/2016.