Overview

• The SEC has filed a lawsuit in the Southern District of New York against Unicoin and four senior executives, including CEO Alexander Konanykhin, alleging securities fraud.
• Unicoin is accused of falsely claiming its crypto tokens were backed by a $1.4 billion real estate portfolio, which the SEC says was never owned by the company and greatly overvalued.
• The company allegedly overstated its sales, claiming $3 billion in rights certificate sales by mid-2024, while actual proceeds were around $110 million.
• Unicoin’s aggressive marketing campaign included promises of returns up to 9,000,000%, targeting over 5,000 investors through widespread advertising.
• The SEC seeks injunctive relief, disgorgement, civil penalties, and officer-and-director bans for the executives, none of whom have yet mounted a public legal defense.