SEC v BG Wealth Sharing Ltd
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Securities and Exchange Commission v. BG Wealth Sharing Ltd and DSJ Exchange PTY Ltd is a federal civil enforcement action filed October 29, 2026. The SEC alleges that the defendants raised more than $130 million through a purported crypto-asset investment program marketed with AI trading signals, guaranteed returns and false claims of regulatory approval.[1]
Allegations
According to the complaint, BG Wealth promoted a wealth-sharing program from at least October 2025 through June 2026 and directed investors to deposit crypto assets with DSJ Exchange. The defendants allegedly represented that AI-generated signals would produce extraordinary risk-free returns. The SEC alleges that the displayed trades and profits were fabricated and that most investor assets were misappropriated, while some incoming funds were returned to investors in Ponzi-like payments.[1]
The SEC also alleges that BG Wealth’s Form ADV and DSJ Exchange’s Form D contained false information and were presented, along with fabricated certificates bearing the SEC seal, as evidence of SEC licensing or approval. The complaint states that neither defendant was registered with the SEC and explains that the filings did not constitute licenses or approval of the investment program.[1]
The complaint treats the wealth-sharing program as an investment contract: it alleges that investors committed crypto assets to a pooled enterprise and expected profits from the defendants’ managerial efforts. These are the SEC’s allegations and legal theory, rather than a judicial finding that the program was a security or that the claimed AI system worked.[1]
Claims and requested relief
The SEC brings four claims:
- Against both defendants, violations of Exchange Act Section 10(b) and Rule 10b-5.[1]
- Against both defendants, violations of Securities Act Section 17(a).[1]
- Against BG Wealth, failure to make books and records available under Investment Advisers Act Section 204(a).[1]
- Against BG Wealth, materially false statements in an SEC report under Investment Advisers Act Section 207.[1]
The complaint requests permanent injunctions, joint-and-several disgorgement with prejudgment interest, civil penalties, and an order barring BG Wealth and persons acting with it from filing Forms ADV as an exempt reporting adviser. The SEC demands a jury trial. The requested remedies have not been granted by the complaint.[1]
Procedural status
The complaint’s filing stamp records October 29, 2026, as ECF 1 in case 3:26-cv-12746. The court’s new-case listing records the initial assignment as TSH, the court’s designation for Thomas S. Hixson.[1][2][3]
The SEC announced the action the same day and separately said the defendants’ Form ADV and Form D had been removed from its website.[4]
Related coverage
- October 30, 2026 news coverage
- SEC v. Albert Saniger
- Consumer-protection and investment-marketing cases
- Case tracker
References
- ↑ 1.00 1.01 1.02 1.03 1.04 1.05 1.06 1.07 1.08 1.09 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 SEC, complaint, ECF 1, filed October 29, 2026, pp. 1–19.
- ↑ 2.0 2.1 N.D. Cal., new-case filings, October 29, 2026, case 3:26-cv-12746 (assignment TSH).
- ↑ 3.0 3.1 N.D. Cal., judges’ calendars, identifying Thomas S. Hixson as TSH.
- ↑ SEC, press release 2026-110, October 29, 2026.