The U.S. SEC indicted Don Vo, the founder of Bitcoin mining company VBit: he fraudulently raised US$95.6 million and misappropriated US$48.5 million to give gambling gifts.

The U.S. Securities and Exchange Commission (SEC) officially filed a civil lawsuit against Danh C. Vo, founder and CEO of Bitcoin mining company VBit Technologies Corp. The SEC alleges that from December 2018 to February 2022, Vo illegally raised more than $95.6 million from approximately 6,400 investors through VBit and its so-called successor company Advanced Mining Group, mainly selling unregistered investment contracts, including Bitcoin mining custody agreements.
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The U.S. Securities and Exchange Commission (SEC) on December 17, 2025 On the same day, a civil lawsuit was formally filed in the Federal District Court of Delaware against Danh C. Vo (also known as Don Vo, 37 years old, a former Philadelphia resident), the founder and CEO of Bitcoin mining company VBit Technologies Corp.

The SEC alleged in the lawsuit that Vo illegally raised more than $95.6 million from approximately 6,400 investors through VBit and its so-called successor company Advanced Mining Group from December 2018 to February 2022, mainly selling unregistered investment contracts, including Bitcoin mining custody agreements.

Ponzi scheme packaged as Bitcoin mining

SEC pointed out that Vo claimed to investors that VBit provides a "turnkey solution" that allows ordinary people to easily obtain passive income from Bitcoin mining without operating the equipment themselves. However, the number of mining equipment corresponding to the hosting agreement sold by Vo far exceeds the actual machines operated by VBit. Throughout its operation, VBit mined only about 425 Bitcoins, far less than promised to investors.

As the company’s founder and CEO, Vo had the final decision-making authority and controlled the information displayed on the website, promotional materials and investor accounts by concealing the truth. More seriously, the SEC accused Vo of misappropriating approximately $48.5 million in investor funds, part of which was used for personal gambling, gifts to family members and other expenses. He also transferred $5 million to family members and his ex-wife, who is also named as a defendant. In November 2021, after Vo filed for divorce, he left the United States with the remaining embezzled funds and his current whereabouts are unknown. The SEC therefore alleged that Vo violated regulations on the issuance and sale of unregistered securities and fraud, and sought a permanent injunction, civil penalties and other judgments against it.

The continuation of the SEC’s long-term investigation into VBit

It is worth noting that this case is the continuation of the SEC’s long-term investigation into VBit. VBit is an American Bitcoin mining company founded in 2018 and headquartered in Philadelphia. It mainly sells mining equipment or custody services to investors. It promises to provide passive Bitcoin income and encourages customers to invest through multi-level referral rewards. Even before the company collapsed in 2022, VBit was facing multi-state regulatory actions (such as cease-and-desist orders in California and Montana) as well as investor class-action lawsuits over similar issues. Many victims and regulators have accused its operation model of being similar to a Ponzi scheme - using the money of new investors to pay the "profits" of old investors until the capital chain is broken.

The company announced in 2022 that it was acquired by Advanced Mining Group and then gradually ground to a halt and has now closed down. The case is still ongoing and Vo's whereabouts are unknown.