Regulators advised potential clients of the project to refrain from participating in a dubious investment scheme based, according to its organizers, on the benefits of artificial intelligence and the endorsement of billionaire Elon Musk.
The order alleges that The Shark of Wall Street and Hedge4.ai, owned by project founder Horatiu Charlie Caragaceanu, knowingly falsely promoted TruthGPT Coin, covering up the financial scam with names of well-known figures in the tech industry, and misrepresenting potential returns to investors.
According to a statement from the parties, an enforcement action has been filed against the project’s founder, Horatiu Caragacheanu, and his companies.
Earlier, a similar decision was made by the Texas Securities Commission, which warned investors about the fraudulent scheme and individuals promoting the crypto-asset TruthGPT Coin.