The Tennessee crypto trading scam was a fraudulent commodity pool run by Michael and Amanda Griffis that raised $6.5M from 145 investors by promising crypto futures profits via a fake platform called “Blessings of God Thru Crypto”; a court ordered $6.85M in restitution and penalties and imposed lifetime trading bans.
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Court order: $6.85M in restitution and penalties.
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145 investors transferred $6.5M into a sham crypto exchange; over $4M was moved offshore.
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Regulator: Commodity Futures Trading Commission secured consent order and lifetime trading bans.
Meta description: Tennessee crypto trading scam: COINOTAG reports $6.85M court order after fake “Blessings of God Thru Crypto” scheme; learn warning signs and recovery steps.
What is the Tennessee crypto trading scam involving “Blessings of God Thru Crypto”?
The Tennessee crypto trading scam was a fraudulent commodity pool run by Michael and Amanda Griffis from 2021–2023 that solicited $6.5 million from 145 investors with promises of crypto futures profits under the supervision of an unidentified advisor called “Coach Wendy.” The U.S. District Court in the Middle District of Tennessee ordered $6.85 million in restitution and penalties and imposed lifetime bans on the Griffises.
How did the Griffises run the “Blessings of God Thru Crypto” scheme?
The couple leveraged real estate networks and personal relationships to recruit investors into a platform modeled on an overseas exchange. Investors were told funds would be traded on an Apex-like platform and managed by “Coach Wendy.” In practice, more than $4 million was sent offshore after entering the sham exchange, roughly $855,000 was recycled as Ponzi-style payouts, and the remainder covered personal debts and expenses.
Why did regulators pursue a consent order?
Regulators found that the Griffises operated a fraudulent commodity pool, misrepresented trading activity, and funneled investor funds offshore. The Commodity Futures Trading Commission sought and secured a consent order to reclaim investor losses, impose civil monetary penalties, and prevent future industry participation by the defendants.
How can investors spot similar crypto trading scams?
Look for these red flags:
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No company registration or verifiable exchange details: an exchange site lacking corporate information is a major warning sign.
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Unverified advisors: anonymous or unverifiable “coaches” like “Coach Wendy” are high risk.
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Pressure to invest via personal networks: recruitment through local businesses or religious groups often targets trust.
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Funds routed offshore quickly: rapid offshore transfers reduce recovery prospects.
Frequently Asked Questions
Who was held accountable in the “Blessings of God Thru Crypto” case?
Michael and Amanda Griffis, Clarksville real estate agents, consented to a court order requiring more than $6.8 million in restitution and penalties and accepting lifetime bans from commodity trading and CFTC registration.
What losses did investors suffer and what recovery is ordered?
145 investors contributed $6.5 million. The consent order mandates approximately $5.5 million returned to victims and an additional $1.35 million civil penalty, totaling about $6.85 million in restitution and penalties.
Key Takeaways
- Legal outcome: Consent order requires ~$6.85M in restitution and penalties.
- Modus operandi: Real estate relationships were used to recruit investors into a fake crypto pool.
- Prevention: Verify platform registration, confirm advisors, and diversify custody to reduce risk.
Conclusion
This case highlights how trust within local networks can be exploited in crypto fraud. COINOTAG reports that the consent order against Michael and Amanda Griffis aims to restore funds and deter future misconduct. Investors should prioritize verification, diversification, and skepticism toward anonymous advisors to protect capital and reduce exposure to similar scams.
Published by COINOTAG. Updated: 2025-09-26.
