Mississippi joined regulators in dozens of U.S. states and multiple Canadian provinces in reaching a settlement with GSB Gold Standard Corporation AG, GSB founder Josip Heit, and certain affiliated companies, brands, and platforms. The settlement related to the company’s offering and selling of fraudulent investments.
Secretary of State Michael Watson announced on Thursday that Mississippi investors will soon have the chance to begin filing claims for investments with company affiliates GSB Gold Standard Corporation AG and GSB Gold Standard Pay, Ltd., collectively referred to as “GSB” or “GS Partners.”
Per a release from the Mississippi Secretary of State’s Office, eligible customers may be able to recoup the value of their deposits with GS Partners, less the value of any withdrawals, through a claims process administered by third-party administrator, AlixPartners, LLP. Once funds are successfully returned to eligible customers, Heit and GS Partners will enter a consent order with the Securities Division concluding they offered or sold securities not registered under state law.
The relevant offerings of investments were tied to digital assets and the metaverse, including the “G999 token,” a digital asset deployed on a proprietary blockchain; “XLT vouchers,” a digital asset representing ownership interests in a skyscraper; and investments in a “staking pool” in a metaverse known as “Lydian World.”
The Securities Division previously issued a Cease and Desist Order to Mr. Heit and his GSB entities in December 2023. Investors will be able to be made whole beginning February 21, an online portal will be available for claim submissions. The portal will be open for 90 days, with May 22 being the cut-off.
To ensure a smooth claims process, Watson’s office recommends claimants gather documentation including:
- Proof of identity (including name and address)
- Any Know Your Customer (KYC) materials submitted to GSB
- A copy of a valid national ID (license, passport, etc.)
- Email address
- Phone number
- GSB Account ID or username
- Claim amount
- Any and all GSB statements
- Proof of deposits, withdrawals, and other GSB transactions
- All wallet addresses used to interact with GSB
- GSB wallet addresses with whom you interacted
- Information about whether you have already sought or received compensation from GSB
More information on the claim submission process is available here.
