Founder of BitClout charged with wire fraud and sale of unregistered securities

The founder of BitClout, a crypto social media platform, has been charged by the SEC and DOJ with wire fraud and selling unregistered securities. Nader Al-Naji, also known as "Diamondhands," allegedly raised $257 million from the sale of BitClout's native token, BTCLT, and used over $7 million of investor funds for personal expenses. These expenses included renting a mansion in Beverly Hills and giving extravagant cash gifts to family members. Al-Naji was arrested on Saturday and appeared before a magistrate judge in California on Monday.