According to Techub News, Cointelegraph reported that the U.S. Securities and Exchange Commission (SEC) accused Caleb Joseph Ward, co-founder of Bitcoin mining company Geosyn Mining, and former operations director Jeremy George McNutt of defrauding approximately 64 investors of $5.6 million through service agreements sold in the form of securities between November 2021 and December 2022.

The SEC said that Geosyn Mining's agreement to purchase and operate crypto mining machines on behalf of customers and charge fees "falsely claimed" that it had signed a cheap energy contract with an electricity supplier, but in fact the cost was "40% to 50% higher" than the rate it told customers. In addition, of the 1,400 mining equipment purchased under its service agreement, 400 of them were not purchased in the end, and "most of the purchased mining equipment was never put into use."