U.S. SEC charges Bitcoin mining company founder Don Vo of VBit: scam fundraising of $95.6 million, embezzling $48.5 million for gambling and gifts

The U.S. Securities and Exchange Commission (SEC) has filed a civil lawsuit against Danh C. Vo, founder and CEO of Bitcoin mining company VBit Technologies Corp. SEC alleges that, from December 2018 to February 2022, Vo illegally raised over $95.6 million from approximately 6,400 investors through VBit and its purported successor company, Advanced Mining Group, primarily by selling unregistered investment contracts, including Bitcoin mining custody agreements.
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On December 17, 2025, the SEC officially filed a civil lawsuit in the U.S. District Court for the District of Delaware against Danh C. Vo (also known as Don Vo, 37 years old, formerly of Philadelphia), founder and CEO of Bitcoin mining company VBit Technologies Corp.

The SEC alleges that, from December 2018 to February 2022, Vo illegally raised over $95.6 million from approximately 6,400 investors through VBit and its alleged successor, Advanced Mining Group, mainly by selling unregistered investment contracts, including Bitcoin mining custody agreements.

Ponzi scheme disguised as Bitcoin mining

The SEC states that Vo claimed to investors that VBit offered “turnkey solutions,” allowing ordinary people to easily earn passive Bitcoin income without operating equipment themselves. However, the mining equipment corresponding to the custody agreements sold by Vo far exceeded the number of machines VBit actually operated. During the entire operation, VBit mined only about 425 Bitcoins, far below what was promised to investors.

As the company’s founder and CEO, Vo had ultimate decision-making authority. He concealed the truth and led the website, promotional materials, and investor accounts to display misleading information. More seriously, the SEC accuses Vo of misappropriating approximately $48.5 million of investor funds, some of which were used for personal gambling, gifting to family members, and other expenses. He also transferred $5 million to family members and his ex-wife (who are also named as defendants). After filing for divorce in November 2021, Vo took the remaining misappropriated funds and left the United States, and his whereabouts are currently unknown. The SEC alleges that Vo violated regulations related to unregistered securities issuance and sales, as well as fraud, seeking permanent injunctions and civil penalties.

Continuing SEC investigation into VBit

It is worth noting that this case is a continuation of the SEC’s long-term investigation into VBit. Founded in 2018, VBit is a U.S.-based Bitcoin mining company headquartered in Philadelphia, mainly selling mining equipment or custody services to investors, promising passive Bitcoin income, and encouraging customer recruitment through multi-level referral rewards. Before the company’s collapse in 2022, VBit faced regulatory actions in multiple states (such as cease and desist orders in California and Montana) and class-action lawsuits from investors. Many victims and regulators accused its operation model of being similar to a Ponzi scheme—using new investors’ money to pay returns to old investors until the funding chain collapsed.

The company announced in 2022 that it was gradually shutting down after being acquired by Advanced Mining Group, and it has now gone out of business. The case is still ongoing, and Vo’s whereabouts remain unknown.