ChainCatcher reported that according to Cointelegraph, Andrew Left, the founder of financial research firm Citron Research, was charged with securities fraud. He allegedly misled retail investors through "bait and switch" stock recommendations and made a profit of $16 million.
The SEC alleges in a July 26 statement that Left is a vocal cryptocurrency skeptic who uses social media and television appearances to recommend stocks in which he holds short or long positions. This creates the appearance that he is doing the exact opposite in many cases.
The regulator added: “This fraud deceived investors and enabled Left to generate short-term profits using his Citron Research reports and tweets as a catalyst.”
In February, Left’s Citron reportedly called for shorting Coinbase stock after the cryptocurrency exchange temporarily disrupted trading on Feb. 28.