The Texas securities Commissionerordered the immediate closure of the cryptocurrency investment program run by Eric Darwin Balusek, commonly known as Bitcoin Pope.
Ignoring SEC guidelines by crypto startups
Travis George. Isles, the Commissioner of the Texas securities Board, signed an order to immediately stop the activities and financial operations of Bitcoin Pope, after noticing his participation in a fraudulent crypto investment scheme that promises investors more than a hundred percent of the profit.
However, even after the order was signed, the companies Bitcoin Pope, Forex Birds and Pek Universe continued to work.
Pek Universe promised investors that with a share of $ 500, they will receive 1.4% of the profit every 10 days, and 5% of the partner reward. The firm also offered services such as environmental cleanup, missile defense, and nuclear security.
Another Bitcoin Pope crypto company, Forex Bird, promised investors that they would get 50% a day. The firm is reportedly registered in European and Australian securities and investment commissions.
Orders of the Texas Securities Commissioner
According to the Texas securities Commissioner, the proposals made by the crypto company Bitcoin Pope are significantly misleading. The Commissioner said in a statement that the company risks a fine of up to ten thousand dollars or a prison sentence of two to ten years, or both, if it does not close.
According to the Texas securities Commissioner, both websites promise high returns on cryptocurrency investments with virtually no risk.
Charges filed against Forex Bird, Pek Uiverse
Both crypto firms that have received cease-and-desist orders intentionally do not disclose how they make a profit, even when they offer investments.
Similarly, due to different investment plans, both startups were accused of deliberately refusing to disclose assets, liabilities, or other financial information that shows their ability to pay out profits to investors, regardless of the price of cryptocurrencies.
No doubt that such a course of events, and especially ignoring the instructions of regulators, can have quite serious consequences, since the SEC does not forgive insults.