The US Securities and Exchange Commission (SEC) has accused Unicoin, Inc. and its top leadership of misleading investors by exaggerating fundraising figures and providing false assurances about their cryptocurrency token. The lawsuit filed by the SEC asserts that Unicoin overstated its capital raise and the assets supporting its token.

Government regulators are increasing their focus on the cryptocurrency sector, with Unicoin and its executives facing allegations of breaching securities laws. The unfolding case has sparked differing viewpoints from regulators and company officials in public discussions.

The SEC's enforcement action targets Unicoin, Inc. and several high-ranking executives. The agency alleges that Unicoin made untrue claims, portraying its cryptocurrency token as more secure and lucrative than it truly was. The crux of the matter lies in the accusations that Unicoin greatly inflated both the amount of funds raised and the value of the assets backing its digital currency.

Accusations state that Unicoin publicly declared a $3 billion raise, while investigations revealed only about $110 million actually raised, falling significantly short of the claimed amount. Additionally, Unicoin's leadership purported that the token was supported by billions in real estate, though there is a lack of evidence to support this.

The SEC asserts that Unicoin and its executives, including CEO Alex Konanykhin and Silvina Moschini, deceived over 5,000 investors with false claims about their cryptocurrency token being backed by substantial real estate assets. The SEC refutes the $3 billion claim, stating that only about $110 million was raised. Furthermore, the agency questions the accuracy of Unicoin's assertion that their offering was SEC-registered.

The SEC is seeking various legal remedies, such as constraints on future activities by the company and its executives, financial penalties, and prohibiting them from serving as officers or directors of public firms. The filings reveal that Unicoin promoted its token as linked to significant real estate assets, assuring investors of protection; however, the SEC contends that these promises were either untrue or greatly exaggerated. The SEC also alleges that Unicoin misrepresented the regulatory status of its token sale by failing to register as required, despite implying otherwise, potentially misleading cautious investors.

The SEC emphasizes the risks associated with unverified claims about asset backing and regulatory non-compliance in cryptocurrency fundraising. Unicoin's executives have swiftly refuted the SEC's accusations, with CEO Alex Konanykhin denying any wrongdoing and expressing readiness to defend Unicoin against the SEC's charges. Legal proceedings are expected to unveil further developments as both parties present their evidence.