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Organization's Crypto Operations Attract SEC Investigation, Exchange Suspended

The US controller, the SEC has suspended the exchanging of stock for an organization which professed to offer a token sale or ICO that was listed with the controller.


 

The controller stated on 22nd October, it had put on hold exchanging at the American Retail Group, also called Simex Incorporation, after the organization guaranteed in August that it was joining forces with a SEC-compliant guardianship to facilitate digital currency exchanges. Furthermore, the organization was putting forth a first sale of stock which it asserted was "authoritatively enlisted in agreement with SEC necessities."

These cases lack veracity, the SEC stated, with the Requirement Department Digital Unit's boss, Robert Cohen, including an explanation that "the SEC does not permit nor licenses guardians for cryptographic money."

He additionally prescribed for investors "to be extremely careful while planning to participate in a first sale of stock."

This is the 2nd time the US controller has ruled against an organization professing to have their endorsement this month.

On 11th Oct, the commission reported it had acquired a crisis court directive against BlockVest and its administrator, Reginald Amigo Ringgold, after the two utilized the SEC's stamp of approval to show that their ICO was listed with the controller.

At that time, Cohen mentioned that the commission "doesn’t underwrite speculative items."

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