On 3 July 2026, the Securities Commission of The Bahamas issued Public Notice No. 7 of 2026 concerning DSJ Exchange PTY Ltd, BG Wealth Sharing LTD and “Professor Stephen Beard”.1 The Notice is issued under four statutes: the Securities Industry Act 2024, the Investment Funds Act 2019, the Financial and Corporate Service Providers Act 2020 and the Digital Assets and Registered Exchanges Act 2024.2 Neither entity, nor any agent, nor the purported founder is registered with or licensed by the Commission; the founder is “believed to be a fictional identity.” The activities may directly violate the Securities Industry Act 2024 and the FCSPA 2020, and the Commission finds they carry the hallmarks of a Financial Scheme,3 rendering the operation unlawful in The Bahamas and exposing participants to criminal prosecution. The Notice aggregates warnings from nine regulators across seven countries, making it as much an enforcement map as a local advisory.
Anatomy of a “click a button” Ponzi app
The structure is a study in manufactured legitimacy. DSJ Exchange PTY Ltd and BG Wealth Sharing LTD are Colorado-incorporated shell companies claiming US SEC status. The claim rests on a July 2025 SEC Form C filing,4 which the Commission dismantles in a sentence: a Form C is a notice of exempt offering, an often abused filing for private placements and “not a license to operate a public exchange.” BG Wealth Sharing has no retail products at all; its sole function is funnelling visitors to download the DSJ Exchange app, of unknown origin. Investment is accepted only in Tether,5 in tiers of 500, 1,000, 3,000 and 5,000 USDT, promising daily returns of 1.3% to 2.6% and a doubling of investment withdrawable after 55 days. Trading “signal codes” arrive over Telegram, BonChat or WhatsApp and are keyed into the app, whose displayed earnings are customised per user and appear fabricated. An MLM overlay pays referral commissions across seven promoter ranks; each recruit must enrol at least five more.6
The enforcement map: nine regulators, seven countries
What distinguishes this Notice is its aggregation. The Commission catalogues every public action against the scheme to date, converting scattered national warnings into a single citable record.7
| Regulator | Action |
|---|---|
| Central Bank of The Bahamas | Public notice on DSJ Exchange (April 2026) |
| UK FCA | Warning: unauthorised financial services promotion (BG Wealth Sharing / dsjex.net) |
| Alberta Securities Commission | Investor alert, both entities (February 2026) |
| Utah Division of Securities | Warning notice (March 2026) |
| Washington State DFI | Warning: alleged investment group and crypto trading platform |
| BC Securities Commission | Investment caution list entry |
| NZ Financial Markets Authority | Investor alert: scam targeting Tonga and New Zealand |
| Australia ASIC | Investor alert list entry via Moneysmart |
| Philippines SEC | Advisory on BG Wealth Sharing / DSJ Exchange |
The geography tells its own story: shells in Colorado, victims across the Pacific and North America, Tonga named as a target market, and the supposed regulator appearing only through a misused exempt-offering form. Nine warnings across seven countries, and still the operative protection is a public notice; chat-app distribution and stablecoin settlement leave regulators warning faster than they can reach.
The legal significance
“from all indications, the entity is an unlawful operation” — SCB Public Notice No. 7 of 2026
Two features merit professional attention. First, the Financial Scheme designation under the FCSPA 2020 does decisive work: pyramid and Ponzi schemes both fall within the statutory definition, all Financial Schemes are unlawful, and participation can attract criminal prosecution, underlined by the Commission's pointer to its foundational notices of 2020 and 2022.8 Second, the invocation of the Digital Assets and Registered Exchanges Act 2024 alongside the securities statutes shows the post-FTX Bahamian perimeter operating as designed: a purported crypto exchange soliciting Bahamians is tested against the digital asset regime and the securities regime simultaneously, and fails both.9
What firms and investors should do
The scheme's red flags compose a reusable checklist: guaranteed daily returns; investment accepted only in stablecoins; onboarding conducted entirely through chat applications; an app distributed outside official stores; recruitment quotas as a condition of participation; and regulatory claims resting on filings rather than licences. A Form C is not a licence; an incorporation certificate is not authorisation. Verification takes minutes via the Commission's public registrant search, as are the equivalent registers of every regulator in the table above. Compliance teams at exchanges and payment firms should screen for the named entities and domains, since victim USDT flows transit legitimate platforms on the way in.
Public Notice No. 7 of 2026 dissects a cross-border crypto fraud in unusual forensic detail: shell companies in Colorado, a fictional professor as founder, an abused SEC Form C filing dressed up as exchange status, Tether-only investment tiers promising up to 2.6% daily, seven MLM promoter ranks, and signal codes pushed through Telegram into an app with fabricated per-user earnings, all now designated a Financial Scheme and unlawful in The Bahamas.
Notes
1. Securities Commission of The Bahamas, Public Notice No. 7 of 2026, 3 July 2026. Complaints: enfdept@scb.gov.bs. Registrant and licensee search: scb.gov.bs/registrant-licensee-search.
2. The four statutes map the Commission's full perimeter: Securities Industry Act 2024 (dealing and advising), Investment Funds Act 2019 (collective investment), FCSPA 2020 (financial services; the Financial Scheme prohibition) and DARE Act 2024 (digital asset businesses and exchanges). Citing all four makes the scheme unlawful under whichever characterisation its promoters prefer.
3. A “Financial Scheme” under the FCSPA 2020 captures pyramid and Ponzi schemes: structures paying existing participants from new participants' contributions rather than genuine returns. See SCB Public Notices No. 11 of 2020 (pyramid and Ponzi schemes) and No. 3 of 2022 (Financial Schemes). All are unlawful and may result in criminal prosecution.
4. SEC Form C is the disclosure filing for offerings under Regulation Crowdfunding: a notice of exempt offering, not a registration, endorsement or licence to operate any trading venue. It recurs in fraud marketing precisely because the filing is real and searchable on EDGAR while conferring no operating status.
5. Tether (USDT) is a US dollar stablecoin. Its selection is functional for the scheme: transfers are irreversible, cross-border, near-instant and outside card-network and banking chargeback protections, so a “deposit” is complete and unrecoverable the moment it is sent.
6. The “click a button” mechanic: signal codes arrive over chat platforms and are keyed into the app to generate purported profits. The ritual manufactures the experience of trading; displayed earnings are app-generated per user. Two extra codes per recruited promoter tie the theatrical returns to recruitment, the scheme's only genuine cash flow.
7. CBB (2 April 2026); UK FCA; Alberta SC (17 February 2026); Utah (10 March 2026); Washington DFI; BCSC; NZ FMA (targeting of Tonga and NZ); ASIC via Moneysmart; Philippines SEC. Links in the Notice.
8. The criminal dimension cuts both ways: organisers face prosecution, and promoters recruiting for commission may themselves conduct unlicensed regulated activity, an exposure MLM participants habitually underestimate.
9. The DARE Act 2024 replaced the DARE Act 2020, rebuilding the Bahamian digital asset framework after the FTX collapse in Nassau, with expanded coverage of exchanges, custody, staking and stablecoins. Its citation confirms the regime reaches inbound solicitation by unregistered foreign platforms.
(Source: https://scb.gov.bs/wp-content/uploads/2026/07/DSJ-Exchange-PYT-Ltd-Public-Notice-final-1.pdf)
