The U.S. Securities and Exchange Commission filed a civil complaint against purported crypto asset trading platforms Morocoin Tech Corp., Berge Blockchain Technology Co. Ltd., and Cirkor Inc. and investment clubs AI Wealth Inc., Lane Wealth Inc., AI Investment Education Foundation Ltd., and Zenith Asset Tech Foundation, alleging they ran a multi-step confidence scam that defrauded U.S. retail investors of more than USD 14 million. According to the complaint, from at least January 2024 to January 2025 the investment clubs used social media advertising and WhatsApp group chats to pose as financial professionals and promote supposedly AI-generated investment tips, then directed victims to open and fund accounts on the Morocoin, Berge, and Cirkor platforms, which allegedly were fake and falsely claimed to be government licensed. The defendants then offered purported “Security Token Offerings” supposedly issued by legitimate businesses, but no trading took place and neither the offerings nor their purported issuing companies existed; when investors tried to withdraw funds, the defendants allegedly demanded advance fees and funneled investor money overseas through bank accounts and crypto asset wallets. The case, filed in the U.S. District Court for the District of Colorado, alleges violations of the anti-fraud provisions of the Securities Act of 1933 and the Securities Exchange Act of 1934; the SEC seeks permanent injunctions and civil penalties against all defendants, and disgorgement with prejudgment interest against Morocoin, Berge, and Cirkor. The SEC also issued an investor alert warning that fraudsters may use social media platforms and messaging apps to lure investors into scams and that investors should not rely solely on information from group chats.

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