Yigit Taha OZTURK 
The United States Securities and Exchange Commission (SEC) has taken legal action against investment firm Touzi Capital over allegations of misleading investors regarding its crypto asset mining fund.
$95 Million Raised From 1,200 Investors
According to the SEC’s statement on Nov. 29, Touzi Capital raised approximately $95 million from over 1,200 U.S. investors, claiming the funds would be used to finance crypto mining operations. However, the SEC alleges that these claims were false.
Touzi Capital is accused of transferring investor funds across its subsidiaries and directing the money into ventures unrelated to crypto mining. The SEC claims the firm misled investors about the risks and profitability of the fund, portraying it as similar to “high-yield money market accounts.”
According to the SEC, the fund was risky and illiquid, and the company continued to accept new investors even after its investments began failing.
Legal battles between the crypto industry and the SEC may significantly diminish in the future, according to speculation. Consensys CEO Joe Lubin suggested that if Donald Trump is re-elected as president, many ongoing SEC cases might be dropped. Lubin stated, “Maybe not all the cases, but I believe our industry will save hundreds of millions of dollars moving forward.”
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