The California Department of Financial Protection and Innovation issued cease and desist letters to five entities over allegedly fraudulent investment schemes.
The companies are Harvest Keeper, Visque Capital, Coinbot, QuantFund, and Maxpread Technologies.
- The DFPI said there were instances in which companies would not process withdrawals, with their websites going offline.
- According to the regulator, two of the entities used artificial intelligence to create fake CEO avatars.
- The agency is accusing Harvest Keeper of hiring an actor to play the CEO role.
- The entities "went to great lengths to appear as if they were legitimate businesses," said the regulator.
