Several businesses have been charged by the U.S. Securities and Exchange Commission (SEC) for allegedly participating in a complex cryptocurrency scam that defrauded retail investors of over $14 million.
In relation to the operation, the complaint accused investment clubs AI Wealth Inc., Lane Wealth Inc., AI Investment Education Foundation (AIIEF) Ltd., and Zenith Asset Tech Foundation, as well as cryptocurrency asset trading platforms Morocoin Tech Corp., Berge Blockchain Technology Co., Ltd., and Cirkor Inc.
According to the SEC, the scam was a multi-step scheme that used social media advertisements to lure naïve individuals. The scammers then used group conversations to gain their trust by pretending to be financial experts and promising rewards from investment advice created by artificial intelligence (AI).
After persuading the victims to put their money in fictitious bitcoin asset trading platforms, the scammers later deceived them read more about SEC Files Charges Over $14 Million Crypto Scam Using Fake AI-Themed Investment Tips.
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