Early this week, the California Department of Financial Protection and Innovation issued desist and refrain orders alleging violations by the following individual and entities:
- CloudFi and Jan Gregory Cerato
- CoinMarketBull and Jan Gregory Cerato
- Vortic United and Jan Gregory Cerato
The Department is alleging that the entities allegedly offered and sold unqualified securities and made material misrepresentations and omissions to investors related to crypto asset investments. The Department is characterizing the offerings as "classic examples of high-yield investment programs".
One unique aspect of the Department's announcement are links to short slide shows that briefly describe the actions (see CloudFi, CoinMarketBull, and Vortic United). The Department is pushing these brief presentations on social media feeds in an attempt to reach once and future investors in the same manner as many fraudsters. The Department launched this campaign last month.