CFTC Cracks Down on Crypto Ponzi Promising “3.5% Daily Returns”
The U.S. Commodity Futures Trading Commission has filed charges against Wolf Capital Crypto Trading LLC and its founder Travis Ford, alleging a large-scale crypto Ponzi scheme that misled more than 3,000 retail investors.
According to the complaint, Wolf Capital raised over $10 million by advertising “stable” daily returns of up to 3.5%, a claim the CFTC says is mathematically unrealistic and unsupported by any real trading activity. Regulators allege there was no verifiable crypto or commodity trading strategy behind the returns. Instead, funds from new investors were allegedly used to pay earlier participants — a classic Ponzi structure.
The scheme reportedly operated between October 2022 and December 2024, targeting everyday investors with consistent-profit marketing during volatile market conditions. The case has been filed in the U.S. District Court for the Northern District of Oklahoma.
This action reinforces a recurring lesson in crypto markets: guaranteed daily returns are a red flag, especially when transparency and on-chain proof are missing. As enforcement tightens, regulators are making it clear that yield promises without substance won’t be tolerated.