SEC-PR-2024-13 (FEB. 2, 2024) Source: https://www.sec.gov/newsroom/press-releases/2024-13 Download: SEC-PR-2024-13 ⊗ (PDF) PRESS RELEASE | 2024-13 SEC Charges Founder of American Bitcoin Academy Online Crypto Course with Fraud Targeting Students. The defendant claimed his hedge fund would use sophisticated tools like artificial intelligence to generate returns. Washington D.C., Feb. 2, 2024 — The Securities and Exchange Commission […]
Category: Online Trading Course Fraud
Online Trading Course Fraud typically involves fraudulent schemes where individuals or entities promise substantial profits through trading courses offered online, often targeting inexperienced or aspiring traders. These schemes exploit the lack of knowledge and the desire for quick financial gains by offering supposedly expert guidance, proprietary strategies, or insider tips in exchange for a fee. Artificial Intelligence (AI) may be leveraged in several deceptive ways: from creating sophisticated bots that simulate successful trading outcomes to fabricating testimonials and misleading performance data. AI can also be used to optimize marketing strategies, targeting vulnerable demographics with tailored messages that appear credible and persuasive. Ultimately, victims of online trading course fraud often find themselves with little to no return on their investment, having paid for education that fails to deliver promised results, while fraudsters capitalize on the upfront fees collected from unsuspecting individuals.