Due to fraudulent activities, the California Department of Financial Protection and Innovation (DFPI) has issued a desist and refrain order against StableDAO and its founder and CEO, Sam Lee. According to the enforcement action, StableDAO and Lee offered and sold unqualified securities and misled investors.
StableDAO and Lee solicited investments by claiming that investor funds would be used to purchase and develop real estate projects. Investors were told that StableDAO’s securities generated daily returns of 0.1% despite supposedly being low-risk for investors. In reality, StableDAO operated as a Ponzi scheme, using investor funds to pay other investors, while mischaracterizing the payments as investments returns. To maintain a steady flow of new investor money, StableDAO was also structured as a pyramid scheme which rewarded investors for recruiting new investors. Among other misrepresentations, StableDAO falsely claimed that investors’ funds were fully guaranteed by a prominent American bank.
StableDAO and Sam Lee are ordered to desist and refrain from violating California securities laws. The DFPI's enforcement action is vital to safeguard California's investors.
Have you been a victim of an investment scam? Don't stay silent. Visit dfpi.ca.gov/file-a-complaint to file a complaint with us. Your report can help protect others.
Please share this video to help others stay safe from investment fraud, and remember to like/follow us.
Disclaimer: The DFPI is California's financial regulator, working to ensure that financial services and products are fair, transparent, and comply with the law. We cannot provide personal legal advice. If you require legal guidance, consult with a qualified attorney. Always thoroughly research and seek professional financial advice from a licensed Investment Adviser. Visit the SEC's Investment Adviser Public Disclosure website at [ Ссылка ] to search for an individual investment adviser representative and view that individual or firm's professional background and conduct, including current registrations, and disclosures about certain disciplinary events (if any).
Link to Desist and Refrain Order: [ Ссылка ]
