The U.S. Securities and Exchange Commission (SEC) announced that Bitcoin (BTC) company Coinme will pay a total of $4 million in fines.
In a recent statement by the SEC, from the USA Coinme and its subsidiary Up Global for making “false and misleading statements” during the UpToken ICO 4 million dollars fined him. SEC, Coinme and Up Global companies under this ICO unregistered sale of securities accused of doing.
Covering the events during the ICO that took place between October and December 2017, the SEC also emphasized that large amounts of fake volumes were created. The SEC granted Coinme’s Up Global wallet, which was used to receive investor funds during the ICO, in those days. 1 million dollars overvalued 160 Bitcoins claimed to have sent it. Up Global offers Coinme at a discount for approx. 14.5 million UTokenssent it back. The SEC said this transaction made a major purchase by a third party. a misleading impression claimed to have created According to the SEC, Bergquist and Up Global also have a stake in UpToken. about the amount collected in the request and offer in He made “false and misleading statements”.
Up Global, for which Coinme is also responsible $3.52 million agreed to pay a penalty. SEC to Coinme as an extra $250,000 and CEO of both Coinme and Up Global Neil Bergquist‘to $150,000 fine wrote more. All parties agreed to pay the penalties.
30 new ATMs with ICO revenue
On the other hand, according to the details announced, Coinme added to its fleet with the income it earned during the ICO. 30 new cryptocurrency ATMs added more. During the ICO, the company’s promises included that UP holders will enjoy benefits such as discounted fees when using these ATMs.
Although users really enjoyed these benefits for a while, in January 2019 Coinme changed its offering and another payment company that will provide the service instead of their own ATM. coinstar partnered with. As of July 2019 Coinme has shut down all of its own ATMs. The company offers technology for kiosks that allow users to buy and sell cryptocurrencies with fiat money.