1. Brian Sewell, founder of the American Bitcoin Academy, allegedly scammed students out of over $1 million through a fake hedge fund investment scheme.
2. Sewell solicited investments for the Rockwell Fund, claiming it would invest in cryptocurrencies from December 2017 to April 2018.
3. Instead of launching the fund, Sewell converted investments into Bitcoin, which was lost when the wallet he used was hacked.
4. The SEC announced a settled case, stating Sewell deceived investors with fake monthly account statements and cost 15 students around $1.2 million.
5. The SEC emphasized its commitment to holding accountable those using attention-grabbing technologies to attract and defraud investors.
6. Rockwell Capital Management, Sewell's company, agreed to settle without admitting or denying allegations, agreeing to pay $1.6 million, and Sewell, over $200,000.
7. Sewell, now residing in Puerto Rico after living in Utah, is listed as the media contact for the firm.
8. The settlement reflects the SEC's ongoing efforts to address fraud in the cryptocurrency space.
9. SEC Chair Gary Gensler has expressed the regulator's intention to continue cracking down on fraud related to digital assets.
10. The case highlights the importance of investor awareness and due diligence in the cryptocurrency sector amid increased regulatory scrutiny.
