On February 10, 2026, Win On Wealth (WoW) co-founders Linh Thuy Le (CEO) and Trong Hoang Luu (CFO) consented to judgments in a SEC civil fraud case filed in California in October 2025. The couple, accused of misappropriating $7.4 million through the MLM Ponzi scheme launched in 2022, are permanently enjoined from future violations of the Securities Exchange Act, including fraud and misleading statements. Disgorgement and civil penalties remain to be determined pending an SEC motion. Parallel criminal proceedings continue.
Win On Wealth, marketed as a high-yield investment platform, is often cited as a classic product-based pyramid scheme, promising returns through recruitment and dubious digital assets. Investors deposited funds expecting passive income, but payouts relied on new recruits, collapsing when recruitment slowed. The SEC alleged that Le and Luu personally pocketed $7.4 million and used investor funds for luxury expenses. X posts from @CryptoLawyerz note WoW’s collapse left thousands in losses, primarily in Southeast Asia and U.S. immigrant communities.
The settlement aligns with heightened SEC enforcement against MLM Ponzi schemes, following cases like Forsage ($340M losses) and GSPartners ($1B+). SEC Chair Paul Atkins’ pro-innovation stance has not slowed fraud actions, with Illinois’ strict crypto laws and Texas’ GSPartners talks signalling state-level vigilance. Bitcoin (BTC) ($113,234) and Ethereum (ETH) ($4,070) remain stable, but MLM scams erode trust in DeFi. The crypto bill nearing President Trump’s desk could clarify the status of securities, reducing future ambiguity.
With criminal charges pending, Le and Luu face potential prison time. Investors should verify platforms on sec.gov and avoid MLM schemes that promise guaranteed returns. Diversify into BTC or USDC with stop-losses below $112,000, TradingView. Follow @TheBlock__ on X for regulatory updates. The Win On Wealth resolution reinforces the SEC’s commitment to consumer protection and may deter similar schemes in 2026.
