In New York, social media influencer Kenneth Thom, also known as K$ or K Money, has admitted to deceiving his followers by posing as an investment advisor. On the 19th, he pleaded guilty in a federal court in downtown New York. He is set to be sentenced on June 25 for the crime of “investment advisor fraud,” which carries a maximum penalty of 5 years in prison.
According to prosecutors, Thom not only exaggerated investment performance online but also fabricated his background, labeling himself as a “Wall Street veteran” and “market expert” despite having a brief work experience and having his broker license suspended by FINRA as early as 2011. He concealed his past records and used platforms like Facebook to lure followers, selling trading courses and investment advice, while creating a community called “K$ Trading Group” to promote fake profit records and attract funds.
Thom was arrested last August and is facing criminal charges in federal court as well as civil litigation filed by the Securities and Exchange Commission (SEC) in New York. According to the SEC’s complaint, Thom’s website, Kmoneygroup, featured an enigmatic computer-generated image on its homepage: it depicted a mysterious figure wearing a Venetian mask and a golden robe, gazing at financial data on the screen, creating an eerie yet tech-savvy atmosphere.
As per the federal prosecutors’ indictment, starting from late 2023, Thom launched a so-called “shared account” program where he had full control of funds and promised profit sharing, raising nearly $800,000 from about 67 investors. However, only around $350,000 was actually invested, with the rest mainly used for personal expenses such as travel, dining, and luxury goods.
The prosecution stated that Thom’s trading performance consistently incurred losses. From March 2024 to March 2025, the funds he operated showed losses of approximately 73%. To conceal the losses, he continued posting false performances on social media platforms, claiming returns ranging from 4% to 120%, when in reality he had already incurred losses of around 30%.
In January 2025, Thom changed the name of his Facebook group from “K$ Trading Group” to “AYBABTU” – an abbreviation of the internet meme “all your base are belong to us.” Internet memes are popular online jokes that are instantly recognizable and often used for humor, sarcasm, or expressing emotions. After the name change, Thom stopped responding to client messages, closed the bank account that received funds, and withdrew approximately $89,000.
Prosecutors also advised the public to verify the professional credentials of individuals before investing, especially on social media, to be cautious of fraud, conduct basic verification, and avoid investing through unregistered individuals.