The former head of the SEC, John Reed Stark, made a post on Twitter, to which he warns that the agency has begun a hunt for influential people in digital assets. He added that there are risks of prosecution.
The SEC department began the prosecution of influential individuals in the field of cryptocurrencies who were engaged in the promotion of fraudulent projects. According to the representatives of the commission, they are engaged in manipulating prices for certain cryptocurrencies using social networks.
In his publication, the former head of the SEC noted individuals who were engaged in the sale of numerous fragmentary cryptocurrency projects. They also often assisted in manipulating market prices when a bull market was observed.
The specialist noted that any form of manipulation fits the rules of combating fraud. Therefore, the days of influential users of the crypto network will be numbered. At the same time, the ex-head noted that this type of manipulation, through social networks, makes it possible to detect fraud more quickly and arrange prosecution.
He cited Francis Szabo as an example. He was accused of fraud for $ 100 million. at the same time, he used social networks to manipulate stock exchanges.
