Offering or Sale of Unregistered Securities

EquiAlt $170 Million Ponzi Scheme California Class Action

“This case arises from $170 million Ponzi scheme operated by EquiAlt, LLC[,]”the complaint for this class action says in its opening line. According to the complaint, EquiAlt claims to use investor funds to buy distressed real estate and promised eight to ten percent profit with very little risk. However, the complaint claims that the promises  Read more

EquiAlt Real Estate Securities Ponzi Scheme Class Action

The sales agents were unlicensed, the securities were unregistered, the investors were not accredited, and the investors’ money did not go where they thought it would go: This was EquiAlt and its Ponzi scheme, says the complaint for this class action. The first defendant is Paul Wassgren, who was a partner, at different times, at  Read more

Obelisk Siacoin and Decred Mining Equipment Presale Class Action

This is another class action about shady business practices related to cryptocurrencies, this time Siacoin and Decred. Most of the complaint covers broken promises about mining equipment, but the legal allegations center on the charge of the sale of unregistered securities.   Read more

Cloud With Me Initial Coin Offering Sale of Unregistered Securities Class Action

This class action concerns yet another initial coin offering (ICO), this time for a cryptocurrency called the Cloud token, sold by Cloud With Me Ltd. The complaint claims that the ICO was actually the sale of unregistered securities, in violation of the Securities Act of 1933.  Read more

BitConnect Coin Unregistered Securities and Fraud Securities Class Action

It’s a wonder that buyers still exist for new cryptocurrrencies that show no signs of any serious underpinnings to support their claims. The complaint for this class action alleges that BitConnect coins are unregistered securities, a fraud, and a Ponzi scheme. Income from BitConnect coins is purportedly obtained through up to 40% interest per month,  Read more

Paragon Coin ICO Was Sale of Unregistered Securities, Says Class Action

What does an initial coin offering (ICO) for a cryptocurrency have to do with “pulling the cannabis community from marginalized to mainstream”? The complaint for this class action attempts to explain, but in the end the allegation is the sale of unregistered securities, violating Sections 12(a)(1) and 15(a) of the Securities Act of 1933.  Read more

Giga Watt Cryptocurrency Unregistered Securities Class Action

SEC Chairman Jay Clayton has described initial coin offerings (ICOs) for cryptocurrencies as “fertile ground for fraud on investors” and it appears that some investors are belatedly awakening to the value of securities regulations. The complaint for this class action alleges that during its ICO, for each investment, Giga Watt said it would provide either  Read more

ATBCoin ICO Was Sale of Unregistered Securities, Class Action Says

The complaint for this class action says, early on, that many of its statements are unnecessary: It claims that ATBCoin, LLC’s initial coin offering (ICO) was an offering and sale of unregistered securities, which is illegal regardless of whether investors were defrauded. Still, it adds a number of allegations of deception “to stress the urgency  Read more

Monkey Capital Cryptocurrency Fraud and Unregistered Securities Class Action

At issue in this class action are nearly $4 million worth of investments the plaintiffs believed they were making into a new cryptocurrency from Monkey Capital prior to its initial coin offering (ICO). The investments were made primarily in bitcoins. The complaint contends that cryptocurrencies are actually unregistered securities and asks for relief from Monkey  Read more