SEC Advisory Issued vs Modesto Cardano Market Cap, Glass Coin, and More

These platforms are noted to be offering investments without proper licenses and promising unrealistically high returns.

In recent advisories, the Securities and Exchange Commission (SEC) has issued warnings against 3 platforms offering cryptocurrency trading and investments; Modesto Cardano Market Cap. Tr3ding Services OPC, Glass Coin, and Pionex Club. 

What’s the Significance: These advisories are intended to protect individuals from financial fraud. (Check out recent SEC advisories covered by BitPinas here.)

The SEC urges the public to exercise caution, thoroughly assess any investment opportunity, and avoid dealing with unregulated companies.

Modesto Cardano Market Cap. Tr3ding Services OPC

THE SEC noted:

• Modesto Cardano Market Cap. Tr3ding Services OPC is registered as a One Person Corporation but is not authorized to solicit investments.
• The Commission received reports that Modesto Miravalles and others are using social media to entice public investments.

Offerings: Its investment schemes include promises of high returns.

• Investments:
  • ₱ 500: Earn 20% daily
  • ₱1,000: Earn 50% after a 10-day lock-in period
  • ₱5,000: Earn 80% after a 15-day lock-in period
  • ₱10,000: Earn 200% after a 35-day lock-in period

• Investors can earn a 15% direct referral bonus and 1% multi-level referral commission.
• It also has a 1% multi-level referral commission.

According to the Howey Test, these transactions qualify as “investment contracts” and must be registered with the Commission.

Glass Coin

The SEC noted:

• It claims to be a trust fund company specializing in crypto asset management.
• Its scheme fits the definition of an “investment contract” and should be registered with the SEC.
• Its offering resembles a Ponzi Scheme.

Offerings:

• Promises rapid profitability with investments in smart contracts.
• Minimum investment: Php 600 for daily earnings of Php 66, total Php 1,980 over 30 days.
• Maximum investment: Php 200,000 for daily earnings of Php 66,666, total Php 1,999,980 over 30 days.
• Investors can earn up to Php 3,650 for inviting others and a daily cash reward of Php 10,000 for following their Telegram channel.

Ponzi Scheme Alert: Exhibits characteristics of a Ponzi scheme, where funds from new investors are used to pay returns to earlier investors.

Pionex Club 

The SEC noted:

• It was represented by CEO Reme Corpuz.
• It is also referred to as Pionex Trading Club.

Offerings:

• Investment Options:
  • Level 1 Smart Contract: Minimum Php 600.00 investment, daily earnings of Php 66.00, total revenue of Php 1,980.00 over 30 days.
  • Level 10 Smart Contract: Maximum Php 200,000.00 investment, daily earnings of Php 66,666.00, total revenue of Php 1,999,980.00 over 30 days.

• Additional Earnings:
  • Referral Bonus: Up to Php 3,650.00 for inviting others. 
  • Telegram Channel Reward: Daily cash reward of Php 10,000.00 for following the official Telegram channel.

Ponzi Warning: SEC identified the entity as a Ponzi scheme.

Legal Status: These entities and their schemes are considered fraudulent and unsustainable. The public is advised not to invest and to report any related activities to regulatory authorities.

Legal Implications: Entities and individuals involved may face criminal liability, fines up to ₱5,000,000.00, or up to 21 years imprisonment.

However: While the SEC issues warnings, it is important for individuals to do their own research and be wary of too-good-to-be-true offers to avoid financial losses.

What’s next: The SEC advises the public must know to avoid these fraudulent investments and report any suspicious activities to epd@sec.gov.ph.

Worth reading: The Commission also issued warnings last month against crypto and artificial investments platforms Skyline Crypto, Dry Goods Trading, and New World AI.  for offering unregistered investments similar to a Ponzi scheme.

This article is published on BitPinas: SEC Advisory Issued vs Modesto Cardano Market Cap, Glass Coin, and More

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