The U.S. Securities and Exchange Commission (SEC) is charging a Texas resident in connection with an alleged multi-million-dollar crypto asset fraud scheme that raised approximately $12.3 million from about 150 investors.
According to SEC Litigation Release filed May 29, 2026, Nathan Fuller allegedly operated the scheme through Privvy Investments, LLC and related names including Gateway Digital Investments between at least October 2022 and mid-2024.
The SEC alleges Fuller solicited investors with promises of extraordinary returns tied to purported AI-driven trading technology.
He allegedly claimed that “proprietary AI-based trading bots” would conduct high-frequency arbitrage trading in crypto markets and that investors could see returns of 40–50% within 30 to 45 days, with “guaranteed profits exceeding 100% in as little as 21 days.”
The complaint further alleges those representations were false or misleading, and that Fuller’s trading systems “did not function as represented.”
Instead, the SEC claims Fuller misappropriated investor funds, using at least $6.2 million for personal expenses and approximately $5.5 million to make Ponzi-like payments to earlier investors in order to sustain the appearance of profitability.
The SEC also alleges Fuller reinforced the scheme by distributing fake account statements and fabricated correspondence from fictitious entities, along with false assurances that investor funds were secured or insured.
The SEC’s complaint charges Fuller with violations of Sections 5(a), 5(c), and 17(a) of the Securities Act of 1933, and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5.
The agency is seeking permanent injunctions, disgorgement of ill-gotten gains with prejudgment interest, and civil penalties.
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