SEC charges a blockchain company for conducting an illegal ICO.

The United States Securities and Exchange Commission (SEC) has charged blockchain company Opporty International and its founder Sergii Grybniak over conducting a fraudulent initial coin offering.

The US SEC has alleged that Opporty International raised approximately $600,000 from nearly 200 investors in an illegal ICO. The blockchain company sold OPP Tokens, which are unregistered digital asset securities, according to the US SEC.

 

Opporty lied about being a regulated company.

The Exchange Commission alleges that the blockchain company Opporty lied to its users by claiming that their ICO was regulated, complaint, and registered with the SEC. The SEC further alleged that Opporty indulged in several unlawful acts, including misappropriating third-party content without approval or attribution, to create the false impression that actual users of the platform chad created such content. Regulators further claimed that defendants falsely claimed to its potential investors that they had “onboarded” more than 6,000 verified providers.

 

The US regulators seek disgorgement.

The SEC has alleged that Opporty has violated five sections of the Securities and Exchange act. Regulators are seeking permanent injunctions prohibiting the offering of digital or other securities, disgorgement plus interest, and civil penalties against Gybniak and Opporty, as well an officer-and-director bar against the founder of the company. The SEC’s complaint also names Clever Solution Inc, another business operated by Gybniak, as a relief defendant.

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Jai Pratap
Jai Pratap
A Mass Media Graduate who loves to write. Jai is also a sports enthusiast and a big movie buff. He loves to learn new things.

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