TechFlow reported on September 10 that according to CoinGape, regulators in five states, including Texas, Alabama, Georgia, Arkansas and Arizona, announced that they had reached a settlement agreement with the GSB Group over a $1 billion cryptocurrency scam. The scam involved products such as tokenized skyscraper ownership, metaverse investments and crypto assets convertible into gold, affecting thousands of investors in the United States and Canada.
Joe Rotunda, director of the Texas State Securities Commission, said that in-state customers who participated in the settlement will receive full compensation. In October 2023, GSB announced a loss and restricted investors from withdrawing some of their profits. The settlement was managed by AlixPartners, which also participated in the bankruptcy management of FTX.