U.S. Securities and Exchange Commission (SEC) Files Comprehensive Lawsuit Against Crypto Scammers! Here Are the Details

The U.S. Securities and Exchange Commission (SEC) has launched a comprehensive lawsuit against a cryptocurrency investment scam that allegedly targeted social media users and caused more than $14 million in losses.

In a complaint filed with the Colorado District Court, the SEC alleged that three so-called cryptocurrency trading platforms and four investment clubs were running an online “investment trust fraud.”

The organizations named in the complaint were Morocoin Tech Corp., Berge Blockchain Technology Co., Ltd., and Cirkor Inc., as well as investment clubs AI Wealth Inc., Lane Wealth Inc., AI Investment Education Foundation Ltd., and Zenith Asset Tech Foundation.

Laura D’Allaird, head of the SEC’s cybersecurity and emerging technologies unit, emphasized that these types of scams target individual U.S. investors and have devastating consequences.

According to the SEC, the fraud was carried out between January 2024 and January 2025. The suspects invited investors to so-called investment clubs operating via WhatsApp through advertisements on popular social media platforms. In these chat groups, individuals posing as financial experts offered investment advice, allegedly powered by artificial intelligence, to gain trust.

Victims were then directed to open accounts and deposit funds on platforms called Morocoin, Berge, and Cirkor. The SEC stated that these platforms were completely fraudulent and that no actual transactions took place. Furthermore, investors were offered fictitious token offerings, and those wishing to withdraw funds were charged additional fees, thus increasing their losses.

The SEC announced that at least $14 million had been embezzled and transferred out of the country via bank accounts and cryptocurrency wallets. The agency also warned investors to be cautious of investment advice received from unknown individuals in group chats.