Watch Out for Cryptocurrency Scams

Written by:
C Costigan
Published on:

What to do if you are the head of the SEC and companies in the cryptocurrency space appear to be pulling a fast one?

"The SEC has done a great job at pulling out some of these companies," remarked CNBC's Brian Kelly.  "In general, the SEC has stopped trading on a lot of these so they have done a great job, in my opinion, with the regulation.  They've understood that this is a new technology, they want to foster innovation, and at the same time their job is to protect the public."

Riot Blockchain was one such company investigated by Kelly and the CNBC crew.

In addition to an abrupt name change, CNBC pointed out some other potential warning signs related to Riot Blockchain just last week.

A number of red flags in the company's SEC filings also might make investors leery: annual meetings that are postponed at the last minute, insider selling soon after the name change, dilutive issuances on favorable terms to large investors, SEC filings that are often Byzantine and, just this week, evidence that a major shareholder was getting out while everyone else was getting in.

Watch more from CNBC regarding the fears about cryptocurrency scams below

- Aaron Goldstein,

video News

Bitcoin Uncensored: 'A Few Steps From Federal Prison If You Don't Beef Up on Legal Preparation'

Ken Nguyen of Coin Republic sits down at to talk tokens, ICOs, and SEC concerns.

Police Pursuit Leads to Shooting Outside Casino

Escondido Police shot and killed a man Saturday night steps away from the entrance to the Valley View Casino in North San Diego County, according to the San Diego Sheriff's Department.

Buffalo Win Against Kentucky - Payout Odds - That Other Cinderella Team

The red hot Buffalo Bulls are looking to shock again Saturday versus a number 5 Kentucky team that is not among the greatest that have been part of this program in modern times. 

Bitcoin Bubble on Verge of Bursting: 'Ticks All of the Boxes'

Bitcoin Bubble on Verge of Bursting: 'Ticks All of the Boxes'

Bitcoin's bubble is about to burst, so says Stefan Hofrichter, head of global economics and strategy at Allianz Global Investors.

UMBC Would Pay $500,000 Should They Win the Championship

UMBC Would Pay $500,000 Should They Win the Championship

Should UMBC happen to win the 2018 NCAA Men's College Basketball Championship, the payout would be a staggering $500,000 for every $100 bet at