The SEC Charges John A. DeSalvo in Crypto Scam
The United States Securities and Exchange Commission (SEC) has charged John A. DeSalvo for his alleged involvement in a crypto scam. DeSalvo, a former lieutenant at the New Jersey Department of Corrections, targeted fellow police officers with his fraudulent investment schemes.
Key Points:
- John A. DeSalvo raised nearly $623,388 from 222 investors through his crypto scam.
- The scam involved a fake Blazar token that was supposed to replace the current state pension system and provide returns for firefighters, paramedics, and policemen.
- DeSalvo claimed that the Blazar token had been securitized by the SEC, but it was never registered with the agency.
- He sold 41 billion Blazar tokens, raising nearly $51,000.
- The value of the Blazar token dropped significantly, losing 99.9% of its value.
Gurbir S. Grewal, director of the SEC’s Division of Enforcement, stated that DeSalvo misappropriated and misused investor money instead of delivering the promised astronomical returns and revolutionary technology. The SEC alleges that DeSalvo orchestrated several fraudulent investment schemes specifically targeting law enforcement personnel.
This case highlights the importance of conducting thorough research and due diligence before investing in any crypto assets. Always verify the registration and legitimacy of a token with regulatory authorities to avoid falling victim to scams.
Hot Take:
John A. DeSalvo’s alleged crypto scam targeting fellow police officers serves as a reminder that even those within trusted positions can engage in fraudulent activities. Investors must stay vigilant and informed to protect themselves from potential scams and Ponzi schemes in the crypto industry.
By
By
By
By
By