Founder Artak Hamazaspyan and a company he controlled, Beaxy Digital Ltd, raised $8 million in an unregistered offering of the Beaxy token (BXY), and Hamazaspyan also misappropriated at least $900,000 for personal use, the SEC said.
The regulator also said executives Nicholas Murphy and Randolph Bay Abbott facilitated trading on the Beaxy platform since October 2019 through the company they managed, Windy Inc, the regulator said in a statement.
Another executive, Brian Peterson, and his companies provided market making services for the Beaxy platform, acting as unregistered dealers, the SEC said.
The other executives and firms, who did not admit or deny the SEC's findings, could not be reached immediately for comment.
Reporting by Jonathan Stempel and Chris Prentice; editing by Jonathan OatisOur Standards: The Thomson Reuters Trust Principles.