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Home›Occupational skills›Crowdfunding portal overestimated bot’s skills, FINRA says

Crowdfunding portal overestimated bot’s skills, FINRA says

By Richard R. Sutton
May 4, 2022
0
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By Al Barbarino (May 4, 2022, 5:20 p.m. EDT) – The Financial Industry Regulatory Authority on Wednesday imposed a combined fine of $1.75 million on two California-based crowdfunding portals after finding that one had misled investors misled over the “exaggerated” competence of one robo house while the other has raised millions more than regulations allow.

FINRA has fined West Hollywood-based StartEngine $350,000 for violations related to allegedly misleading content prepared by issuers in its investment offerings, including a video with a voiceover claiming that the robot of the transmitter “can do just about anything”.

The robot’s offer page said it could “independently perform” tasks such as waking up sleeping family members, teaching a child piano and art, projecting…

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