Florida investor Brian Firestone has filed a federal lawsuit claiming he lost $860,000 due to a complex cryptocurrency scam.
Accusations Against ASITC and CoinBridge
The suit, filed last week, alleges that Alpha Stock Investment Training Center (ASITC) was running a fraudulent scheme directing investors to trade exclusively on CoinBridge, a platform Firestone now calls "entirely fake." Firestone accuses ASITC and CoinBridge Partners of orchestrating a scheme that promised significant profits but ultimately wiped out his savings.
Story of Investment Losses
Firestone's ordeal began in December when he was contacted by a man named John Smith who invited him to join the program. Smith gifted him $500 to start trading. Soon, Firestone saw his account grow to $55,000, prompting him to invest an additional $50,000. He continued to invest, ultimately wiring $470,000 and borrowing another $330,000. By early March, his account balance showed $24.5 million, but when he attempted a trade, the platform froze. Unable to repay his loan, his account was shut down on May 1.
Trends in Crypto Fraud
The lawsuit against ASITC, CoinBridge, and alleged founder Raymond Torres highlights a growing trend in cryptocurrency crimes. According to CertiK co-founder Ronghui Gu, over $2.1 billion has already been stolen in crypto incidents this year, with fraud increasingly targeting users rather than exploiting blockchain code. In 2024, phishing scams alone accounted for over $1 billion in losses.
Firestone's case underscores the rising issue of fraud in the crypto space, highlighting the need for caution among investors faced with promises of quick profits.
