Crypto Scammers Caught! SEC Goes After $14M Fraud Scheme 😱💸

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Oh, look! The US regulators are at it again, this time accusing crypto platforms and investment clubs of pulling the ol’ switcheroo on retail investors. Who knew AI could also stand for “Absolutely Incompetent”? 🤖💰

So, the US Securities and Exchange Commission (SEC) has decided to play cop and charged several crypto-linked entities over a whopping $14 million retail investment fraud. Yep, that’s right-$14 million! Meanwhile, we’re just trying to figure out how to afford avocado toast. 🥑

SEC Claims AI-Themed Crypto Scam: Because Why Not?

The SEC’s got its hands full with three alleged crypto trading platforms and four investment clubs. The culprits? Morocoin Tech Corp., Berge Blockchain Technology Co., Ltd., and Cirkor Inc. Sounds like they were in a race to see who could mislead investors first! 🏁💻 The investment clubs are boasting names like AI Wealth Inc, Lane Wealth Inc, AI Investment Education Foundation Limited, and Zenith Asset Tech Foundation. Seriously, who comes up with these names? They sound like rejected superhero teams. 🦸‍♂️

💥BREAKING:

🇺🇸 SEC FILES CHARGES AGAINST 3 “CRYPTO TRADING PLATFORMS” OVER AN ALLEGED $14M SOCIAL-MEDIA SCAM.

– STEPH IS CRYPTO (@Steph_iscrypto)

According to the SEC, these shady characters ran their scam from January 2024 to January 2025, because why not leave plenty of time for people to lose their savings? During this time, they threw around promises of high-tech AI trading methods like confetti at a wedding. 🎉 All risk-free, of course, because who needs reality in investing? 🙄

Related Reading: Crypto News: SEC Moves to Finalize Penalties Against Former FTX Executives | Live Bitcoin News

After making initial contact, our favorite fraudsters quickly moved to WhatsApp groups-because nothing says “trustworthy investment” like a chat app! They posed as financial whizzes, dropping fake trading tips like they were hotcakes. Investors were practically tripping over themselves to deposit funds. 🍰💸

But wait-there’s more! The SEC claims that no actual trading took place. Instead, they whetted investors’ appetites with fake dashboards showing imaginary balances. “Look! Your money is growing!” Except it was all smoke and mirrors, darling. 🌫️

Then came the fun part: when investors tried to withdraw their “earnings,” they were hit with new requests for bogus admin fees and tax clearance costs. Surprise! It’s like paying for extra toppings on a pizza you never ordered. 🍕

Even after coughing up more cash, those poor souls never saw their money again. The SEC claims these charges were just a way to squeeze out even more cash. Classic! 🙃

Funds Vanish Faster Than Your New Year’s Resolutions

The SEC estimates that at least $14 million went poof from US investors. Investigators say funds were shuffled around like cards in a magic trick-domestic accounts here, international wires there. It’s practically a game of “Where’s Waldo?” but with your money! 🕵️‍♂️

Regulators described this operation as an investment confidence scam. Well, they certainly got us to have confidence in our ability to lose money, didn’t they? 😅

In retaliation, the SEC is seeking some serious penalties and wants the return of stolen funds with interest. Because if you’re going to commit fraud, might as well make them pay for their mistakes, right? 💼

Alongside the charges, the SEC issued an investor alert. Basically, it says, “Don’t trust random folks on the internet!” Shocking, I know! They also recommended checking out their Investor.gov website to avoid falling into the crypto trap. Spoiler alert: guaranteed returns are still a big red flag! 🚩

This whole debacle highlights the ongoing issues with crypto scams. Apparently, AI-themed marketing is the latest trend in scamming, and regulators are ready to crack down. So buckle up, folks-investor protection is priority number one, and they’re not backing down! 🎢

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2025-12-24 21:07