SEC sues Privvy founder over crypto scheme

The Securities and Exchange Commission (SEC) has filed a lawsuit against the founder of Privvy, alleging a fraudulent cryptocurrency scheme that defrauded investors of $12.3 million. The SEC claims the founder misappropriated these funds for personal expenses, including a luxury home, gambling, trading cards, travel, and a new Jeep. The case also highlights the use of AI 'bots' in the scheme, which were found to be misrepresented.