Cryptos: open hunt against fraudulent digital assets in Texas

In the crypto industry, some players are adept at riding trends. A way for them to take advantage of the vogue of the moment to launch crypto projects hoping that they take. In Texas, a similar approach failed because it was blocked by the authorities, who quickly understood the deception.

Texas regulators block two crypto projects deemed fraudulent…

In Texas, the Texas State Securities Board (TSSB) has cracked down on two crypto projects it considers to be fraudulent. These are now subject to censorship. A measure emanating from this state agency, which regulates and controls operations related to securities.

The TSSB decision particularly concerns Horatiu Charlie Caragaceanu, promising of The Shark of Wall Street and Hedge4.ai. Two companies he created to carry the TruthGPT Coin and Elon Musk AI Token crypto initiatives respectively.

The link with these well-known players in the Tech industry is striking. At first glance, the average user might think that these projects have the support of the people mentioned. A way to win trust, see the commitment of it. In reality, however, this is far from the case.

This is the whole meaning of the cease and desist order issued against Caragaceanu and its entities. In the fund, the latter is accused of misleading users. This, by presenting TruthGPT as a crypto exploiting the Elon Musk AI model to predict asset prices.

The order, which incidentally follows similar measures taken by other Texas regulators, aims to put an end to the fraudulent system. A conspiracy in this case taking advantage of the growing enthusiasm around artificial intelligence to gain credibility.

And call on users to be vigilant

The TruthGPT Coin and Elon Musk AI Token cases prove that the crypto industry harbors wolves within it. Crooked promoters who often play on the popularity of certain fashionable projects to lull the credulous.

“Bad actors continue to try to capitalize on widespread public interest. They design schemes that look like they’ve developed sophisticated artificial intelligence platforms, but instead of being rooted in AI are often nothing more than cheats.”said Joe Rotunda, the boss of the TSSB.

The manager also called on users, to “set aside their emotions to objectively evaluate each offer, especially when presented by a stranger on the internet”. The persistence of crypto frauds is one of the reasons why regulation needs to speed up in the United States.