The Securities and Exchange Commission (SEC) has ordered the revocation of Cryptoasset Trading OPC’s certificate of incorporation and registration due to its unauthorized sale of securities to the public.
It also imposed a fine of P1 million on Cryptoasset for engaging in fraudulent transactions.
Cryptoasset, registered as a one-person corporation with the SEC, operates an investment scheme that deceives investors by falsely conveying authority to deal in securities. The scheme attracts the public with various investment opportunities promising up to a 50 percent profit in just 40 days.
In December 2021, the SEC issued an advisory against Cryptoasset, cautioning the public about its investment scheme. Subsequently, on January 24, the SEC directed Cryptoasset to provide written justification as to why its certificate of incorporation should not be revoked due to serious misrepresentation and why no administrative sanctions should be imposed.
However, Cryptoasset failed to respond to the show cause order, leading the SEC to interpret this as a waiver of its right to be heard.