Washington alleges scammers used AI, social media to help steal $9.9M in cryptocurrency
Published on April 23, 2026.
Washington state regulators are alleging that a network of fake investment education foundations and cryptocurrency trading platforms used social media and messaging apps to lure investors into scams that cost nearly $9.9 million. The Washington State Department of Financial Institutions has filed a Statement of Charges alleging multiple violations of the Securities Act between 2024 and 2025 by investment universities, including Zenith Asset Tech Foundation, and their participation in alleged cryptocurrency scams. The agency alleges that at least 38 investors lost nearly $10.9m, including three Washington residents who invested about $49,000. The allegations stem from scams that used fake education foundations, fake securities token offerings, and fake trading platforms. The statement of Charges seeks to order the respondents to cease and despect from these violations and to pay fines totalling $1 million.
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