The SEC fined CoinMe, its subsidiary, and its CEO $4 million for the UpToken offering.
The bitcoin kiosk company, its subsidiary Up Global, and the CEO of both organizations were accused of making unregistered securities offerings and sales.
Penalty Charged by SEC to CoinMe
Bitcoin (BTC) kiosk company Coinme has agreed to pay approximately $4 million, claiming it is a party to an unregistered securities offering by the U.S. Securities and Exchange Commission, according to the SEC’s statement.
Coinme, its subsidiary Up Global SEZC, and CEO of both organizations, Neil Bergquist, were accused of the ICO for “UpToken” in 2017. The SEC accused the parties of “making false and misleading statements about UpToken demand and the amount collected in supply.”
The SEC accused Bergquist and Up Global of misleading investors in the company’s statements following the ICO. The company then agreed to pay a total fine of $4 million.
Up Global agreed to pay a penalty of $3,520,000 to cover the costs, Coinme agreed to pay a separate penalty of $250,000, and CEO Bergquist agreed to pay $150,000, according to Yici.
