The CEO of AriseBank has pleaded guilty to scamming $4.2 million from hundreds of investors. Jared Rice Sr. was initially looking at over 120 years behind bars for all the charges he faced. However, according to a report by Dallas News, he only faces 20 years for one count of securities fraud.
Rice had duped the clueless investors into giving him up to $4,250,000 to purchase AriseCoin cryptocurrency. In turn, he promised them guaranteed, no-risk returns of up to 20 percent, describing AriseBank as the world’s first decentralized bank. The investors purchased the AriseCoins using fiat currencies, bitcoin, ether and litecoin. At the time, Rice stated that AriseBank’s ICO had raised $600 million in weeks, falsely so.