Nova Labs Accused of Investor Deception as SEC Intensifies Crypto Scrutiny

The SEC has charged Nova Labs with fraud and securities violations, accusing the company of misleading investors about partnerships with major corporations and conducting unregistered crypto asset offerings.

The SEC alleges Nova Labs promoted “Hotspots” and “Discovery Mapping” as securities without proper registration, while falsely claiming support from companies like Lime and Nestlé. Filed in New York, the lawsuit marks one of SEC Chair Gary Gensler’s final actions, underscoring his aggressive approach to regulating the crypto industry. The Commission seeks injunctions, financial penalties, and disgorgement of profits in the case.

Clever Robot News Desk 20^th January 2025