The creator of BitClout, Nader Al-Naji, is facing scrutiny from the US Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) over allegations of involvement in a fraudulent crypto scheme that resulted in significant investor losses.<\/p>\n
According to the SEC’s complaint, Al-Naji was accused of raising over $257 million through unregistered offers and sales of the native token, BTCLT, deceiving investors by misrepresenting the use of proceeds and diverting funds for personal expenses.<\/p>\n
The complaint also revealed that Al-Naji took great lengths to portray BitClout as a decentralized entity while allegedly engaging in deceptive practices and misrepresenting the true nature of the project to investors.<\/p>\n
Gurbir S. Grewal, Director of the SEC’s Division of Enforcement, emphasized the seriousness of the situation and the agency’s commitment to holding Al-Naji accountable for misleading investors.<\/p>\n
The SEC’s complaint against Al-Naji includes charges of securities registration and anti-fraud violations dating back to the Securities Act of 1933 and the Securities Exchange Act of 1934. Relief defendants, including Al-Naji’s wife, mother, and associated entities, were named for funds allegedly transferred from investor contributions.<\/p>\n
Crypto lawyer Preston Byrne highlighted past warnings about Al-Naji’s activities, including his involvement in previous schemes and claims of BitClout’s decentralization, which are now under scrutiny by regulators.<\/p>\n
The specific number of years Al-Naji could face if found guilty was not disclosed by the agency, pending further developments in the case.<\/p>\n
<\/p>\n
Featured image from DALL-E, chart from TradingView.com <\/p>\n","protected":false},"excerpt":{"rendered":"
The creator of BitClout, Nader Al-Naji, is facing scrutiny from the US Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) over allegations of involvement in a fraudulent crypto scheme that resulted in significant investor losses. Allegations Against BitClout Founder According to the SEC’s complaint, Al-Naji was accused of raising over $257 million […]<\/p>\n","protected":false},"author":1,"featured_media":16579,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"slim_seo":{"title":"BitClout Founder under Fire for SEC Fraud Charges After Investor Losses - Bitrabo","description":"The creator of BitClout, Nader Al-Naji, is facing scrutiny from the US Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) over allegat"},"footnotes":""},"categories":[316],"tags":[6718,1279,1436,1387,696,764,6719,4120,561,520],"class_list":["post-16578","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-news","tag-bitclout","tag-charges","tag-faces","tag-founder","tag-fraud","tag-investor","tag-investor-losses","tag-losses","tag-million","tag-sec"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/posts\/16578","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/comments?post=16578"}],"version-history":[{"count":0,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/posts\/16578\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/media\/16579"}],"wp:attachment":[{"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/media?parent=16578"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/categories?post=16578"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/tags?post=16578"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}