SEC Charges Donald Basile in Alleged $16 Million Crypto Fraud

Bitcoin Latinum, or LTNM, raised funds through simple agreements for future tokens, or SAFTs, in an effort led by Donald Basile-controlled GIBF GP and Monsoon Blockchain. The SEC alleged that the defendants claimed the token was backed by up to $1 billion in insurance, an asset pool and a trust, none of which existed. The case highlights the investment risks of crypto assets marketed as “insured.”

The US Securities and Exchange Commission sued Basile, GIBF GP and Monsoon in federal court in the Eastern District of New York on April 17, 2026, alleging that they raised about $16 million from hundreds of investors. The SEC said the funds were used for purchases including about $4.1 million for a Miami condominium, $2.8 million for a Utah home and $160,000 for a horse. It is seeking disgorgement, civil penalties and a bar on Basile serving as a company officer.