Court Grants Motion to Dismiss Case Against HEX Founder Richard Heart

The U.S. District Court has dismissed the case against Richard Heart, founder of HEX, who was accused of running a pyramid scheme and facing fraud charges. The SEC has 20 days to refile the case.

Following this development, the price of HEX saw a sudden increase.

The SEC accused Heart, also known as Schueler, of raising over $1 billion by selling unregistered securities, including the HEX token, the PulseChain blockchain, and other digital assets related to the PulseX DeFi platform.

According to the SEC, Heart and PulseChain misused at least $12.1 million in investor funds for personal luxury purchases, such as diamonds, expensive watches, and high-end cars.

U.S. District Court Judge Carol Amon stated that the SEC “failed to establish specific facts” indicating that the alleged conduct occurred in the U.S. She noted that, despite claims that Heart promoted the benefits of the PulseChain token online, the SEC had not proven that this conduct was aimed at the United States.

*This is not investment advice.