SEC wins $5.4M judgment in NanoBit crypto fraud case
The SEC won its fraud case against NanoBit Limited, a crypto platform accused of stealing hundreds of thousands of dollars from at least 18 investors in 2023–2024. A federal court in New York entered final judgment against four entities and two individuals, finding violations of US securities laws and imposing permanent injunctions. NanoBit and affiliates were ordered to pay about $5.4 million in total penalties, disgorgement, and interest. The SEC said NanoBit operators lured victims through Instagram and WhatsApp groups, impersonating financial professionals and showing a fake dashboard with rising returns. They also falsely claimed an affiliate was an SEC-registered broker and promoted bogus ICOs. In reality, no trading occurred on the platform, and investor money was diverted to scheme participants, including transfers to Hong Kong bank accounts and misappropriated crypto assets.
