The Securities and Exchange Commission (SEC) issued a public warning regarding dealing with Axie operator Pogi Breeds international.
Pogi Breeds International is a group of people that are playing the popular play-to-earn game Axie Infinity using solicited investments from clients.
As per SEC Enforcement and Investor Protection Department, Pogi Breeds International is headed by Gino Mendoza a.k.a Nigo Tekashii.
Its co-partnership program entices clients to invest Php5,000 up to as high as Php250,000 with a promise of Php100 to Php25,000 daily earnings, or 2% daily or 10% weekly earnings for 45 days. The overall contract earnings range from Php4,500 up to Php225,000 or 90% per contract in just 45 days.
The entity assures its co-partners of capital returns in just 59 days or as the contract ends.
The co-partnership program offered by Pogi Breeds clearly falls under the definition of securities in the form of an investment contract which is mandated by Republic Act No. 8799 or the Securities Regulation Code [SRC] to be registered with the commission before these securities are offered to the public,Securities and Exchange Commission
SEC said that Pogi Breeds and its allied brands are not registered to the commission and don’t have the authorization to solicit investments from the public. A requirement under the SRC Section 8. Violation of this law can impose a maximum fine of Php5 million or 21-year imprisonment or both.
The public is hereby warned that such investment schemes are considered as securities subject to the regulatory authority of this commission. The offering and selling of securities to the public without a permit or license is a violation of Section 8.1. of the Securities Regulation Code,Securities and Exchange Commission
In addition, the commission also warned the public that neither Axie Infinity nor developer Sky Mavis are registered and has the license to conduct business in the Philippines as a branch, regional area/operating headquarters, or a representative office, and “they do not possess any secondary license to conduct any regulated activity within the Philippines.”
Via: Business Mirror