Kristina Littman, Chief of the SEC Enforcement Division’s Cyber Unit, said: “The conduct alleged in this action was a blatant attempt to victimize those interested in digital asset technology and these defendants should be held accountable. In reality, we allege, these ventures were fraudulent enterprises aimed simply at misappropriating funds from investors.”

The SEC is charging Krstic and Demarr with fraudulent activities and Enos with aiding and abetting those activities. The accused will probably end up paying injunctive relief, disgorgement plus interest, penalties, as well as facing an officer-and-director bar.