Overview
- The SEC filed its complaint in the U.S. District Court for the District of Delaware against Danh C. Vo and VBit Technologies.
- Investigators say Vo raised about $95.6 million from roughly 6,400 customers through passive “hosting agreements” between 2018 and 2022.
- The agency alleges Vo misappropriated $48.5 million for crypto purchases, gambling, and transfers to relatives, with several family members named as relief defendants who have agreed to return funds pending court approval.
- The complaint says VBit overstated the number of operational mining rigs and effectively sold more hosting capacity than it could support, causing substantial losses for some investors.
- The suit seeks disgorgement, civil penalties, and an industry ban for Vo, and notes VBit was acquired in 2022 by Advanced Mining Group and is now defunct.