SEC Issues Subpoena Order To Influencers Promoting HEX, PulseChain and PulseX
- The United States Securities and Exchange Commission (SEC) has increased its scrutiny of the promotion and promoters of crypto assets and recently, issued supoena orders for influencers promoting HEX, PulseChain, and PulseX.
- Former Chief Investment Officer at Arcane Assets, Eric Wall, was the first to point out the subpoena orders from SEC and he gave evidence to support his claims.
- HEX community members and supporters have denied the claims as false news stating that nothing is wrong.
The crypto industry has seen its share of scammers, and one such group of people that is now being targeted by regulators includes influencers that have shilled many shady crypto projects in the crypto market bull run of 2021, which resulted in huge losses for investors. Therefore, the United States Securities and Exchange Commission (SEC) has increased its scrutiny of the promotion and promoters of these blockchain-based assets.
An official letter from SEC dated Nov. 1 has been shared by Swedish researcher Eric Wall wherein the securities regulator has issued a subpoena to influencers who were found promoting cryptocurrencies such as HEX, PulseChain and PulseX. These cryptocurrencies turned out to be rug pulls and scams wherein investors lost significant amount of money.
Former Chief Investment Officer at Arcane Assets, Eric Wall, pointed out the subpoena orders from SEC and he gave evidence to support his claims.
“Hexicans influencers are getting subpoenad by the SEC over HEX, PulseChain and PulseX. The HEX information channels are filled with information about how to shred your digital evidence,”
said Wall.
These influencers are often reached out to by crypto projects wherein they are paid a substantial sum for promoting their projects and most of the times, the influencers don’t even know if the project aims to scam people or implement a rug pull, wherein the project creators dump their tokens on investors and make away with the money.
“We believe that you may possess documents and data that are relevant to an ongoing investigation being conducted by the staff of the United States Securities and Exchange Commission,”
read the letter shared by Wall.
The subpoena was accompanied by a letter wherein the securities regulator asked the influencers to be present in the court and produce the required documents by Nov. 15, 2022. Interestingly, HEX supporters and community members immediately stated that this was fake news but Eric Wall was quick enough to reveal that the HEX information channels on Discord and Telegram were flooded with instructions detailing steps to preseve crucial data and retain anonymity. There were also instructions to shred data.
Additionally, the founder of HEX, Richard Heart, responded to the claims by Wall wherein he shared the subpoena order by the regulator. Additionally, Wall stated that he has no respect for SEC and added that he was just sharding information which he thought was critical for investors.
“Do you accept the good advice you’re given? You think you do, but do you really? Are you using secret chats with self-destruct timers? Or are you a slow learner? Is it hard for you to click buttons?”
said HEX founder Richard Heart in response to Wall’s claims.
A crypto journalist with over 3 years of experience in DeFi, NFT, metaverse, etc. Parth has worked with major media outlets in the crypto and finance world and has gained experience and expertise in crypto culture after surviving bear and bull markets over the years.
