The US SEC sues a cryptocurrency mining investment scam, accusing Mining Automatic of raising $22 million from over 380 investors

The U.S. Securities and Exchange Commission (SEC) announced that it has filed a lawsuit against Florida resident Zan Shaikh and his company Bright Vision Distribution LLC (operating under the name Mining Automatic), accusing them of defrauding investors through a fraudulent cryptocurrency mining investment scheme, with approximately $22 million raised.

The SEC stated that from June 2023 to May 2025, Shaikh and Mining Automatic promised investors fixed monthly returns by participating in cryptocurrency mining operations, but the related mining operations were actually unable to generate the promised returns. According to the SEC's complaint, Shaikh and Mining Automatic are accused of making false statements regarding their cryptocurrency mining experience, operational capabilities, the use of investment funds, and the status of the mining business, and explained payment delays by claiming they were unable to pay investor returns.