Date Posted: 13 November 2019
COIN DE ORO
Based on the information gathered by the Commission, a number of individuals orgroup of persons representing COINDEORO HOLDINGS, INC. / COIN DE ORO (herein “COIN DE ORO”) are enticing the public to invest their money in said entity.As posted online, COIN DE OROpromises a return based onthefollowing activities under itscompensation plan, to wit:1.Direct Referral–Investors will earn Five Percent (5%) from the investments made by their direct referralsupon joining;2.Unilevel Marketing–Investors will earn One Percent (1%) fromtheinvestments made bytheir indirect referralsfromlevels Two (2) to Ten (10);and3.CoindeOro Holder Incentive –Investors will earn Fifty Percent (50%) of the amount invested by their direct referralsconverted into Coin de Oro cryptocurrencies.COIN DE OROclaimed that said cryptocurrency can be traded in the cyber-market using the CoinDeOro Platform which can be accessedby investors using their personal accounts.Simply, an investor is entitled to receive passive income fromthe pool of investment traded as Coin de Orocryptocurrency, while active income is acquired from recruitment bonuses.As stated in the SEC ADVISORY onInitial Coin Offerings and Virtual Currencyposted 08 January2018, some virtual currencies, based on the facts and circumstances surrounding their issuance, follow the nature of a security as defined by Section 3.1 of the Securities Regulation Code (SRC). Therefore, these types of securities have to be registered and necessary disclosures have to be made for the protection of the investing public.Moreover, the public must be aware that some companies allegedly trading virtualcurrencies may be scams using the Ponzi schemeswhere money from new investors is used to pay fake “profits” to earlier investors. Hence, the public mustremain at all times.
Theschemeof COIN DE OROinvolves the sale of securities to the public, andthe Securities Regulation Code (SRC) requires that these securities are duly registered and that the concerned corporation and/or its agentshave appropriate registration and/or license to sell such securities to the public pursuant toSection 8 of the Securities Regulation Code (SRC).Per record of the Commission, COIN DE OROis registered as a holding company but is NOT AUTHORIZEDto solicit, accept or take investments/placements from the public nor to issue investment contracts and other forms of securities defined under Section 3 of the Securities Regulation Code (SRC) because it does not have a secondary license from the Commission to solicit investmentsor other securities from the public for whatever purpose as provided under Sections 8 and 28 of the SRC.Those who act as salesmen, brokers, dealers or agents of COIN DE OROin selling or convincing people to invest in the investment scheme being offeredby these entities including solicitations and recruitment through the internet may likewise be prosecuted and held criminally liable under Section 28 of the SRC and penalized with a maximum fine of Five Million pesos(P5,000,000.00) or penalty of Twenty-one (21) years of imprisonment or both pursuant to Section 73 of the SRC. Also, those who invite or recruit others to join or invest in suchventure or offer investment contracts or securities to the public may incurcriminally liability, or otherwise be sanctioned or penalized accordingly as held by the Supreme Court inthe case of Securities and Exchange Commissionvs. Oudine Santos (G.R. No. 195542, 19 March2014).Furthermore, the names of all those involved will be reported to the Bureau of Internal Revenue (BIR) so that the appropriate penalties and/or taxes be correspondingly assessed.The public is advised to exercise caution in dealing with any individuals or group of persons soliciting investments for and on behalf of COIN DE OROor any entitiesengage in Initial Coin Offerings and Virtual CurrencyTrading.Should you have any information regarding any investment solicitation by any individuals or group of individuals representing COIN DE ORO,please call the Enforcement and Investor Protection Department (EIPD) at telephone numbers(02) 8818-6047or send your report to the EIPD at email@example.comFor the guidance of the public.Pasay City. 11 November2019