CryptoPayz

January 13, 2022 ENFORCEMENT AND INVESTOR PROTECTION DEPARTMENT SEC ADVISORY Based on reports and information gathered by the Commission, the entity operating under the name CRYPTOPAYZ by a certain WESLEY "BILLION DOLLAR" VIRGIN along with his supposed partner SEYI ADELEKE who both appear to be flaunting synthetic or fraudulent personalities is soliciting investments in the Philippines WITHOUT THE NECESSARY LICENSE AND/OR AUTHORITY from the Commission. Purportedly, CRYPTOPAYZ is offering a unique system that vaguely let its users turn any computer or phone that has access to the internet into a "crypto extraction machine" which can gather free cryptocurrencies without even dwelling into mining and/or trading for an introductory price of just USD$19.00. However, to further utilize its system in order to earn lucrative passive returns, CRYPTOPAYZ is also offering a number of packages for a fee ranging from USD$27.00 to $97.00 with corresponding benefits, bonuses and earnings that seem to be "too good to be true" considering the apparent absurdity of its scheme coupled with its promise of little or no risk which are indications of a possible " Ponzi Scheme ." As follows: Despite being a probable scam, since what is being offered by CRYPTOPAYZ are securities, Section 8 of the Securities Regulation Code requires that all offers and sales of securities must be duly registered with the Commission and that the concerned entity and/or its agents must have the appropriate registration and/or license to offer and/or sell such securities to the public. However, based on our records, CRYPTOPAYZ is NOT REGISTERED with the Commission and is NOT AUTHORIZED to solicit, accept or take investments/placements from the public nor to issue investment contracts and other forms of securities defined under Section 3 of the SRC in the Philippines . Our records also showed that CRYPTOPAYZ does not have any brokers, account managers, agents, and/or representative that have appropriate registration and/or license to offer and/or sell such securities to the public . Considering the above, the public is advised NOT TO INVEST or STOP INVESTING in CRYPTOPAYZ and in all other entities promoting or applying the same or similar scheme. Constantly, the public is cautioned that any offer or promise of ridiculous rates of return with little or no risk similar to what CRYPTOPAYZ is offering is an indication of a possible Ponzi Scheme where returns to early investors are likely to be paid out from the investments of new investors and not out of the companies' profits similar to those already flagged by the Commission as scams . Those engaged in such operation tend to close or to shut down operations once they cannot gather enough investments from new investors to fund their schemes. The Commission is continually reminding the public that the offering and sale of securities in the form of investment contracts using the "Ponzi Scheme" is fraudulent and unsustainable and is NOT A REGISTRABLE SECURITY . The Commission will NOT ISSUE a License to Sell Securities to the Public to persons or entities that are engaged in this business or scheme . Thus, everyone is warned that strict penalties are imposed for violations of the Securities Regulation Code, the Revised Corporation Code of the Philippines, and such other rules and regulations enforced by the SEC. Those who act as salesmen, brokers, dealers or agents of unauthorized entities in selling or convincing people to invest in their investment scheme offered including solicitations and recruitment through the internet , may likewise be criminally prosecuted and penalized with a maximum fine of Five Million pesos (P5,000,000.00) or a penalty of Twenty-one (21) years of imprisonment or both pursuant to Sections 28 and 73 of the SRC. Equally, those who invite or recruit others to join or invest in such venture or offer investment contracts or securities to the public may incur criminal liability, or otherwise be sanctioned or penalized accordingly as held by the Supreme Court in the case of SEC vs. Oudine Santos (G.R. No. 195542, 19 March 2014). The names of all those involved will be reported to the Bureau of Internal Revenue (BIR) as well so that the appropriate penalties and/or taxes be assessed correspondingly. Should you have any information regarding any investment solicitation activity by any individual or group of individuals representing CRYPTOPAYZ , please send your report to the EIPD at [emailprotected] . For the guidance of the public. Pasay City, January 13, 2022.