The US Securities and Exchange Commission (SEC) has intensified its legal actions against the crypto industry, filing charges against investment firm Touzi Capital and its founder, Eng Taing.

The SEC accuses the firm of orchestrating an over $100 million fraud scheme involving unregistered securities and misappropriated investor funds.

SEC Files Charges Against Touzi Capital for $115 Million Crypto Fraud

The SEC’s complaint, filed on November 29, claims Touzi Capital defrauded over 1,500 investors across the United States. Between 2021 and early 2023, the firm reportedly raised $95 million for crypto mining projects and $23 million for debt rehabilitation ventures.

However, the SEC alleges that the funds were misused and pooled across unrelated businesses for Taing’s personal benefit.

“The defendants commingled investor funds among its various businesses, some of which had nothing to do with crypto asset mining, misappropriated funds for Taing’s personal use, and misled investors about the profitability of the businesses’ operations,” the Commission alleged.

The SEC continued that Touzi Capital marketed its offerings as secure, high-yield investments similar to savings accounts. However, these investments were speculative and hinged on risky third-party operations.

The complaint also highlights how the firm’s claims about its Bitcoin mining business were misleading. Touzi Capital promised profitability through low-cost energy contracts and advanced mining equipment, but fluctuating energy expenses and equipment issues undermined these assertions.

“In reality, Touzi Capital’s ‘breakeven’ point for mining bitcoin was misleading, because the way this was calculated excluded known factors. Moreover, the energy costs for Touzi Capital’s crypto-asset mining businesses fluctuated greatly, and it consistently had problems with its equipment,” the SEC added.

SEC reported that Touzi Capital’s operations have reportedly collapsed, leaving investors in the dark due to Taing’s lack of communication. In response, the SEC seeks permanent injunctions, civil penalties, and the disgorgement of illicit gains. The lawsuit also includes a request to bar Taing from serving as an officer or director in any company.

This legal action adds to the SEC’s aggressive enforcement track record under Chair Gary Gensler, who is set to step down in January. In fiscal year 2024, the SEC filed 583 enforcement cases, collecting a record $8.2 billion in penalties and remedies. High-profile crypto cases, including a $4.5 billion settlement from Terraform Labs, accounted for over half of the year’s financial recoveries.

Worldcoin (WLD) has been experiencing a strong uptrend since early September, gaining significant momentum over the past 24 hours. The altcoin’s recent rally has pushed its price to a five-month high, with WLD nearing a crucial psychological level of $4. 

This positive price action is driven by new initiatives aimed at fostering growth and increasing adoption, signaling that the altcoin could continue its upward trajectory.

Worldcoin Reaches New Regions

One of the key factors contributing to Worldcoin’s surge is the positive divergence seen in the Price DAA (Daily Active Addresses) indicator. This is a strong buy signal, as the divergence shows that more users are engaging with the platform, which often leads to higher demand and price increases.

Worldcoin has also rolled out its new World ID passport credential system in Chile, Colombia, Malaysia, and South Korea. This expansion has led to increased demand and greater user participation, further fueling the rally.

As the platform attracts more users and expands its utility, the market sentiment surrounding Worldcoin has become increasingly bullish. As demand grows, the value of WLD is expected to continue to rise, creating further opportunities for both short-term and long-term investors.

Worldcoin’s macro momentum looks promising, with active addresses currently at a six-month high. This surge in active participation suggests that investor interest in the project is on the rise. Increased activity and engagement on the network are often indicative of growing demand, which has been one of the primary drivers of WLD’s recent price appreciation.

The uptick in active addresses also signals that Worldcoin is gaining traction within the crypto community. As more investors and users engage with the platform, the cryptocurrency is building a strong foundation for continued growth.

This participation is a direct response to the increasing demand for Worldcoin’s services, particularly the World ID system, which has been gaining momentum in new markets.

WLD Price Prediction: Aiming Higher

Worldcoin’s price has surged by 20% over the last 24 hours, breaking above the critical support level of $3.36. This increase has propelled WLD to a five-month high, indicating a strong upward trend. With the support at $3.36 now holding, WLD has room to push higher, potentially reclaiming the $4.00 level.

The next target for Worldcoin is the $4.00 resistance, which could be pivotal for its continued growth. If the price manages to break through this level, it could signal a new phase of price appreciation, drawing in more investors and boosting confidence in the project. As adoption continues to grow, particularly with the expansion of World ID, WLD may continue to rise, reaching new milestones.

Looking ahead, if the current momentum persists, Worldcoin could see further gains in the coming weeks. The combination of increasing adoption, and positive market sentiment suggests that the cryptocurrency is well-positioned for long-term growth.

However, if WLD loses the support of $3.36, it could fall to $2.78. Losing this support would invalidate the bullish thesis completely

Crypto analyst Vincent has given reasons why the XRP price could rally to as high as $10,000 at some point. This comes amid the recent XRP rally, with the crypto now targeting its current all-time high (ATH) of $3.8. 

Why The XRP Price Can Reach $10,000

In an X post, Vincent revealed that he had consulted with ChatGPT, and the AI chatbot had told him that the XRP price could easily reach $10,000 per coin. XRP’s market cap is one reason that has been used as an argument as to why the crypto can’t achieve such a price level. The analyst stated that ChatGPT also invalidated the market cap argument, stating that monetary market cap is an invalid metric. 

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Vincent failed to provide a timeline for when ChatGPT said the XRP price could reach such an ambitious price target. However, he mentioned that he had discussed Ripple with the AI chatbot. This suggests that ChatGPT might have considered Ripple’s influence before making this $10,000 prediction. 

Indeed, Ripple could play a major role if the XRP price is to come close to or reach this $10,000 target. While predicting that XRP can reach $1,000, crypto analyst CryptoTank alluded to Ripple payments service and cited an instance where the crypto firm’s payment rails are used to process most cross-border transactions. 

XRP’s use case will increase as Ripple’s payment service enjoys mass adoption, providing a bullish outlook for the XRP price. Meanwhile, it is also worth mentioning the XRP ETFs, which are also bullish. The US Securities and Exchange Commission (SEC) could approve these funds next year, especially with reports that pro-crypto Paul Atkins could replace Gary Gensler. 

These funds would drive institutional inflows into the XRP ecosystem, sparking a significant price rally. However, it remains to be seen if they could drive the crypto to five figures. 

A Rally To Double Digits In This Cycle

Amid this lofty XRP price prediction of $10,000, crypto analyst Mikybull Crypto has predicted that the crypto could rally to double digits in this market cycle. This came as the analyst stated that XRP was giving 2017 kind of rally vibes, indicating that the crypto could replicate its legendary rally of over 61,000% in that 2017 bull run. 

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In line with this, the crypto analyst predicted that XRP price would hit $2, experience a pullback, and then continue its vertical hated rallies to a new cycle top of probably $10. Using the Elliott Wave theory, crypto analyst Dark Defender predicted that XRP could rally as high as $18 in this bull run. 

At the time of writing, the XRP price is trading at around $1.90, up over 18% in the last 24 hours, according to data from CoinMarketCap. 

Featured image created with Dall.E, chart from Tradingview.com