Former Bitconnect investor and promoter Trevon James is now claiming he spoke to the FBI about the now-defunct exchange and his involvement with the project.
In a YouTube video posted Monday, James further confirmed that he will be testifying about his role with the project in 10 days, though he did not specify what type of hearing this would be. That said, he indicated his knowledge of the exchange was limited, and that he did have any information about its plans or roadmap.
James said he expected his testimony to be similar to the 90-minute conversation he claims to have had with the FBI agent, wherein he explained his experience with Bitconnect as a user.
He continued, saying, “I’m glad that I don’t know anything so that means there’s no proof that I knew anything.”
However, his testimony may not be strictly related to Bitconnect’s shutdown or its operations, he said, adding:
“It’s really about the SEC. Testimony is really important you know, for the entire crypto space because … it’s about securities. Is Bitconnect a security, are cryptocurrencies, can they be considered securities? That’s what it’s about, it’s not about whether I scammed people.”
“It’s about whether Bitconnect is a security and whether I knew,” James concluded.
Stepping back, the SEC has been opening up on its attitudes toward token sales of late, allegedly issuing a plethora of subpoenas to startups that have launched initial coin offerings (ICOs). It is unclear what information the agency is looking for or which groups have received the legal documentation so far.
Still, the move also comes weeks after chairman Jay Clayton described every token sale as a securities sale, and James’ comments shed additional light on what has so far been an opaque investigation.
So far, no token sale has been registered with the SEC, Clayton said at the time, though he followed up by stating he would like to draw more of a distinction between cryptocurrencies and ICOs.
“ICOs that are securities offerings, we should regulate them like we regulate securities offerings. End of story,” he said.
The FBI did not respond to a request for comment by press time.
Trevon James image via YouTube
The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. Have breaking news or a story tip to send to our journalists? Contact us at [email protected].