The U.S. Securities and Exchange Commission (SEC) has filed charges against Nathan Fuller, a Texas resident, for allegedly orchestrating a fraudulent scheme that netted $12.3 million from approximately 150 investors. Operating under the guise of his company, Privvy Investments, LLC, and the name Gateway Digital Investments, Fuller misrepresented his use of AI trading bots to promise unrealistic returns.
Between October 2022 and mid-2024, Fuller promised investors returns of 40% to 50% within a month and even claimed potential profits exceeding 100% in just 21 days. To enhance credibility, he falsely asserted that investor funds were secured by a surety bond insured by the Federal Deposit Insurance Corporation (FDIC).
In a further breach of trust, Fuller allegedly diverted at least $6.2 million for personal expenses, while approximately $5.5 million was used to pay earlier investors, resembling a Ponzi scheme. To mislead investors, he provided fabricated account statements and correspondence from non-existent entities. The SEC is pursuing permanent injunctions, civil penalties, and the return of illicit gains.