The U.S. Securities and Exchange Commission accused seven organizations of large-scale cryptocurrency fraud.
According to the regulator, retail investors lost more than $14 million.
Victims were attracted through social media and messengers, promising 'AI advice' and guaranteed profits.
The U.S. Securities and Exchange Commission (SEC) has filed a lawsuit against three fake cryptocurrency trading platforms — Morocoin, Berge Blockchain, and Cirkor — as well as four investment clubs: AI Wealth, Lane Wealth, AI Investment Education Foundation, and Zenith Asset Tech Foundation.
According to the regulator, they organized a fraudulent scheme, as a result of which retail investors from the USA lost at least $14 million.
According to the document, from January 2024 to January 2025, 'investment clubs' attracted users through social media advertising and group chats on WhatsApp. Organizers posed as financial experts and promised profits based on investment recommendations allegedly generated by artificial intelligence.
After that, victims were persuaded to open accounts on the platforms Morocoin, Berge, and Cirkor. The companies falsely claimed to have government licenses and real trading activities. In reality, no trading took place, and all operations were a simulation, the message states.
The case materials also mention so-called Security Token Offerings (STO), which allegedly were issued by legitimate companies. However, these issuers did not exist, nor did the tokens themselves.
The SEC demands permanent injunctions and civil penalties against all defendants, as well as the return of illegally obtained funds with interest on Morocoin, Berge, and Cirkor.
