It targeted media outlets such as the US Securities and Exchange Commission (SEC), Saraca Media Group, and GTV Media Group.
The regulator accused media companies of the unregistered supply of securities and digital assets. The companies agreed to pay fees to settle.
Many people were encouraged to invest in GTV stock offerings, according to the SEC’s accusation. In addition, two companies were selling G-dollars. Companies urged people to invest, both on their websites and on social media. Media companies succeeded in raising nearly $500 million from 5,000 people by achieving their goal. None of these offerings required user verification and registration.
According to the SEC, those selling securities were required by law to provide equal disclosures to investors on the subject. However, the funds collected will be refunded as companies do not meet this requirement.
Media companies did not accept the SEC’s accusations, nor did they deny it. However, they agreed to pay $434 million and $16 million in advance interest. A fine of $15 million will also be paid.
The companies also stated that they will not be involved in any digital asset and crypto asset offerings. In addition, companies will post the SEC’s notice on their websites to further inform investors regarding digital asset offerings.
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