⚖️ SEC Cracks Down on $14M Crypto Scam Run Through Social Media Platforms
The U.S. Securities and Exchange Commission (SEC) has filed charges against multiple entities and investment groups accused of running a large-scale $14 million cryptocurrency fraud scheme targeting retail investors across social media.
The scheme, which operated between January 2024 and January 2025, allegedly used fake trading platforms, manipulated AI-generated investment advice, and misleading promotional campaigns to deceive investors. According to the SEC, victims were lured through attractive crypto investment ads, false profit promises, and fabricated trading dashboards designed to appear legitimate.
Entities named in the complaint include:
- 🏢 Morocoin Tech Corp.
- 🏢 Berge Blockchain Technology Co. Ltd.
- 🏢 Cirkor Inc.
- 💼 AI Wealth Inc.
- 💼 Lane Wealth Inc.
- 💼 AI Investment Education Foundation Ltd.
- 💼 Zenith Asset Tech Foundation
Investigators revealed that investors’ funds were misappropriated instead of being used for real trading activities. When victims attempted to withdraw funds, scammers allegedly demanded additional “fees”, citing regulatory and compliance excuses. The SEC also highlighted that the money was transferred overseas through a complex network of crypto wallets and bank accounts, making recovery difficult.
Many victims were initially contacted through platforms like WhatsApp, where fraudsters posed as financial professionals, falsely claiming government approval and platform legitimacy.
The SEC emphasized that no genuine crypto trading ever took place, and all activities were designed purely to steal investor funds. Authorities are now pursuing legal action to hold those involved accountable and recover funds where possible.
This case serves as a crucial reminder for global crypto investors to verify platforms, remain alert to suspicious profit guarantees, and avoid engaging with unknown financial groups online.
