SEC Denies Endorsement of Crypto Custodians, Cracks Down on Public Company After False Claims

  • SEC suspended trading in securities of Simex. These punitive measures took place after company would falsely claim that it teamed up with the custodian

Cover image via U.Today

According to a recently published press release, the Securities and Exchange Commission (SEC) has suspended trading in securities of Simex. The SEC order states that the suspension will last until Nov. 3.

These punitive measures took place after the Nevada-based company would falsely claim that it teamed up with a custodian who was endorsed by the American securities watchdog. The company also claimed that it got the green light from the SEC for conducting a token offering.

The Commission reiterates that it doesn’t endorse any crypto custodians, so investors should be aware of fake claims that are meant to promote certain tokens.

Meanwhile, as U.Today reported earlier, scammers are faking CNN articles to lure in Bitcoin investors.

About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.

Recommended articles