According to market news, BitClout founder Nader Al-Naji was accused by the U.S. Securities and Exchange Commission of implementing a multi-million dollar fraudulent crypto asset scheme involving a social media platform called BitClout and its eponymous native token BTCLT. The SEC said Al-Naji raised more than $257 million through unregistered BTCLT issuance and sales, while falsely claiming that the proceeds would not be used to compensate him or other BitClout employees. In fact, Al-Naji used more than $7 million of investor funds for personal expenses, such as paying rent for a Beverly Hills mansion and lavish cash gifts for his family.