SEC Fines Crypto ATM Provider Coinme Almost $4 Million

Coinme, Up Global, and Neil Bergquist, CEO of both firms, have settled a dispute with the US Securities and Exchange Commission (SEC).

According to the press release, the regulator charged the defendants with an unregistered offering of securities in the form of the UpToken (UP) token between October 16 and December 15, 2017, as well as misrepresentation.

The trio agreed to pay a fine of $3.52 million, with Coinme responsible for $250,000, and Bergquist for $150,000.

Furthermore, Bergquist is permanently prohibited from acting as an officer or director of a public company.

In September 2019, Coinme raised $1.5 million, with Ripple and Blockchain Finance Fund participating in the round.