June 21, 2024

The Securities and Exchange Commission has warned the public against individuals and groups engaged in unauthorized investment-taking activities disguised as cryptocurrency trading and franchising.
In separate advisories issued Feb. 9, the SEC advised the public to exercise caution when dealing with Jams Mart, Solmax Global Limited and Igniter 100, and BitAccelerate.
These groups have not secured the necessary licenses to offer securities for sale within the Philippines, as required under the Securities Regulation Code.
The SEC warned individuals and/or entities involved in the unauthorized investment-taking activities of the strict penalties provided under the Securities Regulation Code and other laws, rules, and regulations.
The Securities Regulation Code punishes those who act as salesmen, brokers, dealers, or agents with a maximum fine of P5 million or imprisonment of up to 21 years or both.
Those who invite or recruit others to join or invest in such venture or offer investment contracts or securities to the public may incur criminal liability or be penalized accordingly as held by the Supreme Court in the case of SEC vs. Oudine Santos.
Jams Mart, headed by a certain Niño Luis A. Jamili, is not registered with the SEC either as a corporation or as a partnership.
The group has been offering investments to the public through its franchise investment program, where investors are promised up to 300 percent or returns within one year.
BitAccelerate, which also operates under the names Bitaccelerateproject.com, BA, and BitAccelerator, claims to be operating a crowd-funding international platform that provides investors both long-term active and passive income.
Investors could supposedly generate income from BitAccelerate’s compensation plans, depending on the number of referrals and/or membership fees they have gathered. The investor will then be asked to download the Telegram app, where they could input their investments through the BitAccelerate Bot.
Both entities have not secured SEC license to conduct Initial Coin Offering in the country and are not included among registered banks, exchanges, or companies engaged in digital assets with the Bangko Sentral ng Pilipinas.
The SEC reminded the public that cryptocurrencies are very volatile and involve a higher degree of risk, making any promise of lucrative returns “truly ambiguous.”
The public is encouraged to visit the SEC website at www.sec.gov.ph to see its regularly issued advisories and to report unauthorized investment-taking and suspicious activities of corporations to the SEC Enforcement and Investor Protection Department through email at [email protected]. – Press release