Bitcoin Savings & Trust (BS&T) began as a Ponzi scheme (where funds collected for first participants are stolen from later investors). Eventually, it expanded into the most well-known fraud cases that involve a fictitious Initial Coin Offering (ICO) (ICO). An initial coin offering (ICO) is when a company begins trading crypto assets for the first time, and ICO scams are typically straightforward. It's the classic scenario of a phony company posing as legitimate and merely stealing money from investors. Investors in BS&T were promised weekly profits of up to 7%. However, what did happen was that over 265,000 bitcoins were taken through blockchain fraud. Transactions became more complicated and expensive as the amount of bitcoin accumulated grew. Pirates tried to relieve the pressure by decreasing the rate of interest. However, this resulted in an uproar and large withdrawals. Pirate chose to discontinue BST after consulting with his clients and proclaimed his desire to go back all due to bitcoins. BST unexpectedly declared bankruptcy on August 28, 2012, after repaying at least 11 minor creditors. The lost funds were eventually discovered to have been used for "rent, car-related bills, utilities, retail items, gambling.