Unicoin has launched a vigorous legal defense against the U.S. Securities and Exchange Commission (SEC), filing a motion in New York federal court to dismiss a $100 million fraud lawsuit initiated in May 2025. The SEC's complaint alleges that Unicoin and three executives, including CEO Alex Konanykhin, misled investors about fundraising scale and asset backing for its tokens.
The regulator claims Unicoin overstated its performance by suggesting it had raised over $3 billion when actual figures were closer to $110 million. Additionally, the SEC alleges the company promoted rights certificates as registered securities while highlighting unsecured real estate and private equity holdings.
Unicoin's legal team argues the SEC "plucks snippets of communications and distorts their meaning and context," insisting that forward-looking projections were presented openly with proper risk disclosures. The company maintains that its filings clearly warned investors about potential risks, making fraud allegations unfounded.
CEO Konanykhin frames the case as politically motivated, linking it to what he calls an "anti-crypto crusade" under former SEC Chair Gary Gensler. He suggests Unicoin became a target after high-profile marketing campaigns featuring Times Square billboards and celebrity endorsements.
The outcome could set significant precedents for how crypto projects promote asset-backed tokens and make aggressive return claims. A victory for the SEC might establish tighter disclosure standards, while a win for Unicoin could encourage similar ventures to challenge regulators amid shifting policy landscapes.