SEC Cracks Down on Fake Crypto Advisor Certificates

The US Securities and Exchange Commission (SEC) has filed civil complaints against 38 unregistered crypto investment advisory firms for displaying fake SEC certificates.

The firms, including CryptoOrbit, Ftaexchange, Pinnacle, Quantum, RBH, and others, claimed to have registered investment advisor status that didn't exist.

One of the defendants, the Quantum Financial Institute, pitched a 'multi-dimensional intelligent investment system' and courses on 'bitcoin giveaways' and 'the highest win-rate strategies', all while displaying a phony SEC certificate.

The SEC alleges that these entities made materially false statements on Form ADV and failed to file disclosures, violating Sections 204(a) and 207 of the Investment Advisers Act.