Utah Takes Action Against Suspected Crypto Pyramid Scheme

Utah authorities have taken action against a suspected cryptocurrency pyramid scheme, issuing an emergency cease-and-desist order against BG Wealth Sharing, Ltd.

The Utah Division of Securities alleges that the company and its owners pose a 'grave, continuous threat of irreparable financial ruin' to investors. The order claims that investors were promised 'fraudulent guarantees of compounding daily returns' with no real trading activity, and were forced to pay fees under false pretenses.

The state also warns about human trafficking allegations surrounding the company. Regulators claim that global scams often rely on scam centers in Southeast Asia, where people may be trafficked and held against their will.