The SEC Charges Former Corrections Officer for Bizarre Crypto Scam
The Securities and Exchange Commission (SEC) has charged a former corrections officer from New Jersey, John A. DeSalvo, for his involvement in a strange cryptocurrency scam. DeSalvo allegedly solicited money for an unregistered token called the Blazar token, targeting police officers and first responders. Here are the key points:
- DeSalvo raised $623,388 from over 220 investors by selling the unregistered Blazar token.
- He claimed that the token would replace traditional state pension systems and provide high returns.
- The SEC alleges that DeSalvo falsely claimed the Blazar token was registered and approved by the SEC.
- DeSalvo sold his tokens on a decentralized exchange, causing a collapse in value and significant investor losses.
- He misused investor funds and abused his position of trust as an officer.
This is not the first fraud committed by DeSalvo, who previously tricked investors in a stock and crypto trading venture. The SEC is actively pursuing crypto scams and unregistered securities. However, there is a glimmer of hope as the SEC is set to approve the first ETF based on ETH futures.
Hot Take: The case of John A. DeSalvo highlights the importance of investor protection in the crypto space. It also serves as a reminder to thoroughly research investments and be skeptical of claims that are difficult to verify independently.
By
By
By
By
By
By