The United States Commodity Futures Trading Commission (CFTC) today issued an order filing and simultaneously settling charges against Cody Malosi Wilson of Idaho Falls, Idaho for failing to register as a commodity pool operator (CPO) and failing to comply with CFTC regulations regarding CPOs.
The order requires Wilson to pay a $150,000 civil monetary penalty and to cease and desist from any further violations of the Commodity Exchange Act (CEA) or CFTC regulations, as charged.
The order finds that from approximately August 2015 to October 2018, Wilson operated commodity pools that he ran under various names, including Young Millionaires, Simple Wealth, and Simple Wallet. In connection with those pools, Wilson solicited and accepted funds from pool participants for the purpose of trading binary options on foreign currency pairs.
Wilson used interstate commerce to operate the pools and solicit and accept funds from pool participants, but failed to register as a CPO as required.
The order also finds that Wilson violated CFTC regulations by receiving funds from pool participants via accounts in his name, commingling pool funds with his own property, and failing to operate each commodity pool as a separate legal entity from himself.