Crypto advisors used SEC certificates that were never issued

Yesterday, the SEC asked a federal court for injunctions against several crypto investment advisory firms who have displayed fake SEC certificates.

Naming crypto operators CryptoOrbit, Ftaexchange, Pinnacle, Quantum, RBH, and others, the SEC filed a total of 38 civil complaints over phony filings.

For example, the crypto-focused Quantum Financial Institute claimed it had registered investment advisor status that didn’t exist.

One of its incredible press releases pitched “a multi-dimensional intelligent investment system” and “courses” where students could learn about “bitcoin giveaways” and “the highest win-rate strategies, helping students understand the deep logic of the market.”

It even rendered a phony SEC certificate to dupe customers.

Commissioners are asking a federal court for injunctions to order civil penalties and to ban the defendants’ reporting exemption privileges for future advisory filings.

At the commission’s direction, FINRA has already removed non-compliant forms for these advisors from adviserinfo.sec.gov. 

RBH Infinity Exchange Inc, Pinnacle Crypto Exchange Inc, THEVGPRO Ltd, Quantum Financial Institute Ltd, Ftaexchange Ltd, and other problematic crypto businesses are now defendants of US civil lawsuits.