SEC Sues Kent Swig’s Cryptocurrency Partner

All that glitters isn’t gold in Kent Swig’s adventures in cryptocurrency enterprise, which is going through extra issues because of a lawsuit concentrating on high government Stephen Braverman.

The Securities and Change Fee filed a lawsuit towards Braverman, accusing him of perpetrating a pump-and-dump scheme for a cryptocurrency predating his partnership with Swig, Insider reported. Swig just isn’t accused of wrongdoing within the lawsuit, which was filed on Sep. 30 within the Southern District of Florida.

Braverman co-created Dig, a coin backed by gold, based on the SEC civil go well with. He and three others offered $36.8 million value of cash to retail buyers; the SEC claims it was “extremely unlikely” the gold upholding that worth ever existed.

The SEC is trying to compel Braverman and the co-conspirators to repay the alleged fraud victims, in addition to curiosity and different penalties. They is also banned from appearing as company officers or administrators, which might power Braverman’s elimination as CEO and president of Dignity Gold, which mints Swig’s Digau cash.

Swig informed Insider that Braverman was “defending himself vigorously towards these baseless allegations” and in search of to have the case dismissed.

The spokesperson informed Insider Swig was not concerned within the creation of the Dig coin and the 2 are “unrelated,” however the investor beforehand informed the outlet his agency would supply free tokens to holders of Braverman’s coin.

The go well with is the most recent headache for Swig’s Dignity Gold.

Funding agency Lincoln Worldwide this summer time sued Swig and his agency, Helmsley Spear, over unpaid hire for a subtenant area at 444 Madison Avenue. Swig is being sued as a result of he personally assured the workplace hire for 15,000 sq. ft, the place Dignity Gold is likely one of the occupants.

Swig launched his cryptocurrency enterprise in April 2021, asserting his Digau coin can be tied to gold (similar to the Dig coin Braverman is being sued about). Swig’s agency stated it might be capable of extract gold from mines in Arizona, California and Nevada with the help of Apache Mill Tailings.

Nonetheless, Questions emerged virtually instantly concerning the enterprise and points linked to the mining agency. Dignity Gold claimed in April that it had secured mining rights for 80 acres with a purported $214 billion in gold, silver, platinum and “uncommon earth parts” ready to be found.

Nearly two years into the enterprise, Dignity Gold has but to start out mining, although a spokesperson for Swig informed Insider the filings of full geological surveys of the undisclosed mining websites with the SEC was coming within the subsequent two to a few months.

— Holden Walter-Warner