The Securities and Exchange Commission (SEC) is taking “emergency action” against BKCoin, a crypto hedge fund, and its co-founder Kevin Kang for “Ponzi-like conduct,” according to a press release. Kang’s fund raised $100 million from 55 investors between October 2018 and September 2022, promising the money would go towards buying crypto. However, Kang used some of the funds for personal expenses and “Ponzi-like payments,” claimed the SEC. Kang is alleged to have commingled investor assets and used $3.6 million to make Ponzi-like payments to fund investors. The SEC has obtained permission to freeze the fund’s assets and take other emergency measures. Kang has had a high profile in the crypto world for several years and claimed his fund is now talking to both pension funds and endowments as potential investors.