A Washington State regulatory investigation into the BG Wealth Sharing scheme is the latest development to heighten debate within the Tongan online community, following warnings issued in Tonga, New Zealand, Australia, and the US state of Utah about activities they have described as resembling pyramid‑style schemes.
The Washington State Department of Financial Institutions (DFI) said it considers BG Wealth Sharing Ltd and its related platform, DSJ Exchange Pty Ltd, to be fraudulent after receiving multiple investor complaints that they were unable to withdraw their deposited funds.
BG Wealth describes itself as “the world’s largest hedge fund,” but the regulator warned that the company has linked its promotions to licences it said are “false” and “do not appear to be legitimate.”
DFI said the companies’ online presence has been marked by frequent website removals, followed by the creation of new domains.
This included domains such as bggp.vip, bg911.cc, and dsjex.net, a pattern regulators said reflects a common red flag associated with online investment scams.
Concerns Over Incorporation Records
Both companies are incorporated in Colorado, but the regulator said the business addresses listed in official filings appear questionable, including the use of mailing services and temporary office rentals.
DFI also noted inconsistencies between the dates the companies claim to have been established and their actual incorporation filings.
According to regulators, investors are largely recruited through social media, with participants encouraged to bring in new investors in exchange for higher earnings.
Communication reportedly takes place through private messaging apps such as Telegram and Bonchat.
DFI stressed that legitimate investment firms generally do not communicate with investors or provide trading instructions through private messaging platforms.
Regulators said investors are given daily “trading signals” and are promised guaranteed, zero‑risk returns, including claims that a $2,000 USDT investment could generate $1,500 USDT per month for life — assertions authorities say are unrealistic and misleading.
The regulator also warned that claims by BG Wealth and DSJ that they are licensed or approved by the US Securities and Exchange Commission (SEC) are false. Filings made with the SEC do not amount to registration or regulatory approval, it said.
Several investors have reported being unable to withdraw their funds, although some online accounts suggest a small number of users were initially able to withdraw limited amounts — a tactic regulators say is often used to build trust in fraudulent schemes.
DFI is urging consumers to exercise extreme caution and to verify the credentials of anyone offering investment services. Investors can check licensing status and complaints through FINRA BrokerCheck at brokercheck.finra.org.
Past Scam Warnings Ignored
The case has reignited warnings over a string of investment schemes that have swept through the Tongan community locally and across the diaspora over the past decade.
Despite repeated warnings from authorities, Tongans have continued to be targeted through social media and word‑of‑mouth promotions, with some schemes later collapsing and leaving investors with significant losses.
These included Validus, which reports said drew in about US$200 million before authorities shut it down, and HyperFund, a global crypto scheme that regulators later described as a scam estimated to have taken about US$1.8 billion worldwide, including funds from Tongans.
In several cases, promoters have faced legal action, with matters heard in Tongan courts and others currently before the courts in New Zealand.
This included Tongitupe, a Tonga-targeted scheme that was shut down earlier but remains the subject of overseas legal proceedings, with its operator, Tilila Siolaʻa, expected to appear before a United States court in March 2027.
Her co‑founder, ‘Ofa Siasau, is currently facing court proceedings in New Zealand.
