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Pirateat40 (called Pirate) was the operator of the largest scam in bitcoin history: he operated a ponzi scheme[1][2] which initially promised a guaranteed a daily profit of 1%, and then disappeared with an unknown amount of bitcoins in August 2012. Thoughts were that the amount was about 500,000 bitcoins, valued around US $5 million at the time. These amounts were soon quashed once investigators realized a large hoard of coins found in their analysis did not belong to Pirate, but instead to a black market website with which Pirate used to mix his funds to hide the actual amounts he had held/stolen.

July 2013

SEC (The U.S Securities and Exchange Commission) charged Trendon Shavers with defrauding investors in a Ponzi scheme.[3]


  1. https://bitcointalk.org/index.php?topic=50822.0
  2. http://bitcoinmagazine.net/the-pirate-saga-and-so-it-ends/
  3. https://bitcointalk.org/index.php?topic=261290.0