U.S. SEC charges NanoBit and CoinW6 with using social media to conduct cryptocurrency "relationship investment scam"

According to Foresight News , the U.S. Securities and Exchange Commission (SEC) has accused fake cryptocurrency platforms NanoBit and CoinW6 of defrauding investors and stealing their funds. This is the first time the agency has accused such scams. The SEC filed two lawsuits against five entities and three people in the Federal District Court for the Eastern District of New York and the Federal District Court for the Central District of California on Tuesday. The two lawsuits stated that investors were induced to participate in "relationship investment scams" on social media, with the main channels including WhatsApp, LinkedIn and Instagram. "Relationship investment scams, including those involving crypto asset investments, pose a risk of catastrophic harm to retail investors, and the threat is rapidly increasing as these scams become more popular among scammers," said Gurbir S. Grewal, director of the SEC's enforcement division, in a statement on Tuesday.