The SEC argues against Heart’s dismissal motion, asserting authority over his $1 billion fraud case involving misused funds and false claims.
The SEC contended that Heart’s motion to dismiss fails to address the well-supported allegations in the complaint and ignores relevant legal standards.
Heart had previously argued in his dismissal motion that the regulator lacks authority because he resided abroad and had no presence in the US during the relevant period.
According to the official SEC document, from December 2019 to November 2020, Heart marketed Hex as a crypto asset security, branding it as a “blockchain certificate of deposit” with the promise of consistently increasing token holdings through staking.
Heart’s claims, which included promises of high returns and the assertion that Hex was the “highest appreciating asset ever,” attracted significant investment.
In fact, investors were said to have poured in $678 million worth of ETH, and the SEC highlighted that despite these grand promises, Hex’s value plummeted by approximately 98.4% from its all-time high as of July 2023.
I once was a holder of HEX and I eventually sold them at a loss as the price failed to soar high as promised by its founder...anyway it was just one of the many bad experiences I got into in the world of cryptocurrency. Richard Heart (https://www.sec.gov/newsroom/press-releases/2023-143) is one of the many controversial figures in this industry as he displayed a rich and famous lifestyle (https://www.reuters.com/world/us/us-charges-youtuber-richard-heart-with-fraud-related-unregistered-crypto-2023-07-31/)maybe financed by his cryptocurrency involvement. Now that the SEC has current case on him in the court, Richard is fighting back and seeking available remedies that he can use to minimize the possible risk that can come to him legally.I'm not a lawyer, so I can't fully understand all the evidence, accusations, and defenses. I'll wait for the judge's decision and analysis from legal experts in the crypto market. I just see that the price drop of HEX is completely normal in the crypto market, especially since HEX price increased extremely strongly during the bullrun 2021 and brought profits to many investors.
Do you sympathize with Richard or do you think he deserves this legal drama?
Do you sympathize with Richard or do you think he deserves this legal drama?I didn't buy any hex token, i don't even know too much about it. I don't really sympathize with Richard and i do not know if his intentions were to scam people from the beginning or if the project was just surely going to fail. People lost a lot of money and reports have it that he used investors money to fund his lifestyle, now if that is true, then he has to pay for his crimes.
Do you sympathize with Richard or do you think he deserves this legal drama?Let's answer your question with the same thing I did. I have made my hopes on making a profit from NOT Coin ( which was an airdrop-based reward given to me). The founder made a statement on the channel that he will sell his 6.7 million dollars worth of not when they become 670 million dollars means that's 100x. I take it as a commitment that maybe in the future this coin might pump that much although the hype at that time was so high.
Does anyone else remember when Richard Heart and the HEX website were saying pre-launch on late 2019 that "The price can only go up" because of whatever tokenomics they were using?We can find hundreds of similar price charts in this market, regardless of whether they are top coins as SOL, AVAX, NEAR, FTM or memecoins as DOGE, SHIB, FLOKI. We always know that no asset can continuously increase in price, even BTC has experienced 80% price drops during crypto winters.
Well, that turned out to be a lie.
Way before any lawsuits about HEX started (which is now classified as a security), it peaked sometime in 2021, and went crashing down after that.
Do you sympathize with Richard or do you think he deserves this legal drama?
Branding something on a larger scale can earn you investors' trust and money, but you must be worthy and capable enough to meet their expectations. I don't know much about Heart's history, but if he made such big promises to his investors, then there is no bigger fool than him. He was either not smart enough to escape after committing this scam or was shocked by the results, which were a total failure.
As investors, we shouldn't take heavily advertised projects as facts; instead, we must do our own research. What role does tokenomics play in the bullishness of the token, and why was Heart so confident in the project when he shouldn't have been? There's always a downside to everything.
Well if he cashed out say 30-40 million and has it stashed away 2 or 3 or 4 years in prison is a decent deal for him. Shame that people like him are not publicly tortured to death.Publicly tortured death are you serious? I think that would be too much for him at last it's not his fault only. People invested in HEX should have given some common sense to the promises that Heart made. I found no historical achievements that HEX founder Heart has made, so why do people trust him?
Although I suspect people would still give it a shot.