The U.S. Securities and Exchange Commission hasn’t forgotten about the 2017 ICO craze.
The SEC filed charges on Friday against four men behind Bermudan company Arbitrade Ltd., Canadian firm Cryptobontix Inc., and U.A.E.-based Sion Trading for allegedly running a pump-and-dump cryptocurrency token scheme worth $36.8 million from 2017 until 2019.
The men behind the alleged scam claimed they had $10 billion worth of real gold bullion in a reserve which would back their Ethereum-based crypto token ironically named Dignity (DIG).
DIG’s makers claimed that each of the three billion total DIG tokens was backed by one dollar worth of gold and that DIG tokens could be redeemed for the gold.
The SEC alleges that Troy R.J. Hogg, James L. Goldberg, Stephen L. Braverman, and “gold trader” Max W. Barber defrauded customers by lying about the existence of the gold and pretending to hire accounting firms to “audit” said gold.
According to the SEC filing, DIG was created by Russian developers in...
Your content is great. However, if any of the content contained herein violates any rights of yours, including those of copyright, please contact us immediately by e-mail at media[@]kissrpr.com.
INN caught up with cryptocurrency investment expert Dan Hoover to review the current landscape and where the market may be heading. The cryptocurrency investment marketplace has gone through severa...