SEC Files Lawsuits Over Cryptocurrency and AI Scams That Netted $15.3 Million

The SEC has filed two lawsuits against four entities accused of defrauding hundreds of investors through investment schemes that utilized WhatsApp, social media, cryptocurrencies, and alleged artificial intelligence. The cases resulted in losses exceeding $15.3 million, and the involved entities were likely operated by individuals overseas. The complaints, filed on September 29 in New York, name Cryptoaiml Ltd. and Cryptoaiml Capital Foundation for appropriating over $12.5 million, while TSAI Pro Ltd. and TSAI Capital Foundation allegedly obtained over $2.8 million. Cryptoaiml operated between August 2024 and March 2025, managing WhatsApp groups where they posed as investment professionals and disseminated trading signals attributed to AI. Participants were directed to a platform that appeared to execute cryptocurrency trades, but the SEC claims that the trades never occurred and the profits were fictitious. When investors attempted to withdraw funds, they were told their accounts were blocked and they needed to pay fees. TSAI Pro and TSAI Capital Foundation promoted an AI-based trading bot program between September 2024 and March 2025, promising guaranteed profits. The SEC asserts that the bots never existed and that the deposited money did not generate returns. Both entities also issued fake SEC certificates. The SEC warns about the use of group chats and false claims of regulatory registration in frauds.

This content is provided for general informational purposes only and doesn't constitute financial, investment, legal, or tax advice. Any events, rewards, online promotions, or related information mentioned herein should not be considered a recommendation, solicitation, or invitation to purchase, sell, trade, or otherwise deal in any crypto assets. Crypto assets are highly volatile and may result in loss. The availability of WEEX services, products, and related events may vary by region. You are responsible for ensuring that your participation is in accordance with applicable local laws and regulations.