CFTC sues North Carolina firm over $14M crypto fraud

Federal regulators have filed a civil lawsuit against a North Carolina man and his firm, alleging they defrauded dozens of investors out of more than $14 million through a fraudulent commodity pool that traded futures, options, and cryptocurrencies. The Commodity Futures Trading Commission (CFTC) filed the complaint in the U.S. District Court for the Western District of North Carolina on Tuesday, July 7, 2026, naming Trevor L. Vernon and his company, Argent Capital Management LLC, as defendants.

The agency alleges that from at least March 2022 through February 2026, Vernon solicited approximately $14.8 million from at least 60 participants. He marketed himself as a skilled and successful trader, claiming the commodity pool was highly profitable. In reality, the CFTC contends his trading resulted in consistent and catastrophic losses, with at least $8.6 million lost through trading in equity index futures, options, and digital assets like Bitcoin and Ether.

To conceal these losses, the defendants allegedly sent investors falsified monthly performance emails and quarterly account updates that showed non-existent profits and rising account balances. The CFTC further accuses Vernon...