SEC Takes Action Against Opporty ICO: Allegations of Fraud and Misrepresentation

The SEC Strikes Again

In a recent turn of events, the Securities and Exchange Commission (SEC) has set its sights on Sergii Grybniak, the founder of the infamous ICO project Opporty. Despite assembling a cozy $600,000 from around 200 hopeful investors, Grybniak found himself in hot water for allegedly claiming that his venture was “100% SEC compliant.” Spoiler alert: it wasn’t.

What Was Opporty Trying to Achieve?

Launched between September and October 2018, Opporty was marketed as a shiny new blockchain-based ecosystem designed to cater to small businesses and their customers in the U.S. Think of it as a digital marketplace where small businesses could list their services and engage in smart contracts. But as the saying goes, all that glitters is not gold — and Opporty’s crown had a few too many cracks in it.

The Allegations of Misleading Claims

According to the SEC, the project didn’t just trip over its claims – it took a spectacular fall. The complaints reveal a laundry list of misleading assertions that could make any investor raise an eyebrow:

• Opporty claimed to have hundreds of “verified providers” ready to do business, but the majority had not even shown interest.
• The staggering figure of 17 million businesses in their database? A hasty purchase of a third-party catalog!
• They even boasted a partnership with a major software company, which turned out to be as real as unicorns.

Consequences Awaiting the Founder

Now, Grybniak, who calls Brooklyn home, is facing some serious repercussions. The SEC is calling for an injunction against any future digital offerings, the return of all ICO funds, plus hefty civil penalties. It sounds like someone is going to have a long chat with their accountant.

SEC’s Targeting Strategy: A Curious Case

This case seems like an outlier in the SEC’s approach to regulating crypto projects. In the past, they’ve unleashed their legal hounds on bigger fish, such as Telegram and Kik, but are showing a softer spot for others like EOS, which settled for a mere $24 million despite a whopping $4 billion ICO. Perhaps Opporty’s alleged dishonesty played a part in making it a tempting target?