SEC Sues Green United for Alleged Crypto Mining Fraud

As an analyst with over two decades of experience in financial markets and securities law, I have seen many cases of fraudulent activities that leave investors disillusioned and financially stranded. The recent lawsuit against Green United LLC by the SEC is yet another example of such deceitful practices.


Green United LLC is in deep legal trouble due to a lawsuit filed by the U.S. Securities and Exchange Commission (SEC), which alleges that the company’s top executives, Wright Thurston and Kristoffer Krohn, operated a fraudulent cryptocurrency mining operation. The SEC asserts that Green United solicited $18 million from investors through the sale of “Green Boxes” and “Green nodes.

The advertised gadgets claimed to mine a non-existent cryptocurrency called GREEN on an alleged “Green Blockchain,” a claim disputed by the Securities and Exchange Commission (SEC).

Following a court decision on September 23, it was determined that the ongoing lawsuit can proceed. In her statement, Judge Ann Marie McIff Allen indicated that there was sufficient proof for the SEC to establish that Green United’s offerings qualified as investment contracts, thereby falling under the jurisdiction of securities laws.

Additionally, she emphasized that Thurston reportedly misled investors, leading them to think they were acquiring GREEN tokens for mining. However, it was Thurston who actually controlled the distribution process. Furthermore, the SEC alleges that the merchandise marketed as Bitcoin mining equipment never resulted in any Bitcoin rewards for the investors.

Thurston and Krohn attempted to throw out the case by saying the SEC had no jurisdiction over digital currencies. But the judge didn’t agree with this point, emphasizing that the SEC was just enforcing rules that have been in place for many years. As a result, the case is now proceeding, which may lead to additional probes or a trial.

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2024-09-24 10:28