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The U.S. SEC has dropped its lawsuit against BitClout founder Nader Al-Naji, bringing the $257 million fundraising case to a close
Svmuu News: The U.S. Securities and Exchange Commission (SEC) has withdrawn its civil enforcement action against BitClout founder Nader Al-Naji. According to a joint filing submitted to the court on March 12, the SEC and Al-Naji have agreed to terminate the proceedings. The case will be permanently closed, and the regulator may not file another lawsuit based on the same allegations. The SEC stated that this decision was “based on the specific facts and circumstances of this case.” It is reported that the SEC sued Al-Naji in July 2024, alleging that he committed wire fraud and sold unregistered securities through the cryptocurrency social media project BitClout (later associated with the decentralized social blockchain DeSo). He allegedly raised approximately $257 million by selling BitClout’s native token, BTCLT, and is suspected of using over $7 million in investor funds for personal expenses, including renting a luxury mansion in Beverly Hills. (CoinDesk)
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