SEC charges crypto trading platforms and investment clubs over $14 million scam
The SEC charged seven entities, including crypto platforms and investment clubs, for a $14 million crypto investment fraud.Summary
The U.S. Securities and Exchange Commission (SEC) has filed charges against seven entities—three crypto trading platforms (Morocoin Tech, Berge Blockchain Technology, and Cirkor) and four related investment clubs (AI Wealth, Lane Wealth, AI Investment Education Foundation, and Zenith Asset Tech Foundation)—for orchestrating a coordinated crypto investment fraud that allegedly stole at least $14 million from retail investors. The groups used online messaging apps like WhatsApp to promote purported AI-generated trading strategies, falsely claiming government licensing to lure victims into opening accounts on their associated, illegitimate crypto trading platforms. These platforms allegedly promoted fictitious Security Token Offerings, blocked legitimate withdrawals, and imposed fraudulent advance fees. The SEC is seeking injunctions, civil penalties, and disgorgement from the defendants.
(Source：Crypto Briefing)