The Securities & Exchange Commission has sued a Chicago cryptocurrency firm, alleging it sold at least $1.5 million of crypto-based securities without registering with the agency.
The lawsuit against Chicago Crypto Capital, filed Sept. 14 in federal court in Chicago, is an early example of SEC Chairman Gary Gensler’s campaign to police cryptocurrency trading and investing, despite the lack of specificity in federal law over how the nascent industry should be regulated.
The low-profile firm, launched by Brian Amoah, a former employee of Chicago Precious Metals Exchange, sold crypto asset securities called BXY to about 100 individuals from August 2018 until November 2019, according to the complaint. Many of those investors “had no experience investing in crypto assets,” the lawsuit said. Read the lawsuit below.
BXY was a token created to be traded on an exchange created in 2019 called Beaxy. Chicago Crypto Capital formed an alliance with Beaxy to sell the tokens—and for many...
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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...