Topic: UnikoinGold will pay $6.1 million to Harmed Investors / 15.09.20 (Read 213 times)

Glad you left early ... Although Mark Kubin himself is not as important  I guess as it is that people may have trusted Unikoin, depended on them to pay on a certain time, and were subsequently let down and unable to handle their own finances as a result. They are are using maniacal techniques just to get a hand of other peoples money.

For reference, and maybe it will be useful to someone: Any amount remaining in the Fair Fund after all distributions have been made shall be transmitted to the U.S. Treasury.

I remember investing in this way back when and managed to turn a decent profit of it because the token was released in the fall/winter of 2017, right when everything was headed for the moon. It was the only ICO that attracted the attention of Mark Cuban, who sank $25 million into it -- he had been interested in the project since 2015. I followed them for a while and they are a decent site for Esports betting but the punter crowd seems to have glanced right over it for the most part.

One interesting thing was that I could never place bets using Unikoin Gold (UKG), which was the token given to investors. Apparently they've been hit with a lot of charges over the years... seems to be a disaster. Glad I got out super early.

Source: https://www.sec.gov/litigation/admin/2020/33-10841.pdf and ANN [ICO] Unikoin Gold

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Unregistered ICO Issuer Agrees to Disable Tokens and Pay Penalty for Distribution to Harmed Investors

The Securities and Exchange Commission today announced charges against Unikrn Inc., an operator of an online eSports gaming and gambling platform headquartered in Seattle, Washington, for conducting an unregistered initial coin offering (ICO) of digital asset securities.  Unikrn agreed to settle the charges by paying a $6.1 million penalty, substantially all of the company's assets, to be distributed to investors through a Fair Fund.

According to the SEC's order, between June and October 2017, Unikrn raised approximately $31 million through its offering of the UnikoinGold (UKG) token. The order finds that Unikrn planned to use the offering proceeds to make more features available on the gaming platform and to develop additional applications for the UKG tokens. Unikrn promised investors that it would facilitate a secondary trading market for the tokens and that its efforts to increase the usages for the UKG token would increase demand for and in turn, the value of, the tokens. The order finds that Unikrn offered and sold UKG as investment contracts, which constituted securities, yet failed to register the offering or qualify for an exemption.

"The securities registration and exemption framework is designed to ensure investor protection and access to material information, while also facilitating capital formation. Failure to follow this framework harms investors and our markets," said Kristina Littman, Chief of the SEC Enforcement Division's Cyber Unit. "This resolution allows us to return substantially all of Unikrn's assets to already-harmed investors and includes measures to prevent future sales to retail investors, including the disabling of the tokens."