The Securities and Exchange Commission (SEC) has taken decisive action against Richard Heart, the founder of Hex, PulseChain, and PulseX, alleging significant financial misconduct. The SEC's lawsuit, filed in July 2025, accuses Heart of raising over $1 billion through unregistered crypto asset securities offerings, a violation of securities laws. At the heart of the SEC charges against Hex founder Richard Heart is the accusation of misappropriating millions of dollars intended for investors.

Specifically, The SEC also charged Heart and PulseChain with fraud for misappropriating at least $12 million of offering proceeds to purchase luxury goods including sports cars. This misuse of investor funds directly contradicts the intended purpose of the offerings and raises serious concerns about Heart's fiduciary responsibility.

The Securities and Exchange Commission today charged Richard Heart (aka Richard Schueler) and three unincorporated entities that he controls, Hex, PulseChain, and PulseX, with conducting unregistered offerings of crypto asset securities that raised more than a billion dollars. The SEC filed suit in July 2025, accusing Heart of raising more than $1 billion through unregistered offerings and spending millions on personal luxuries.

These charges highlight the SEC's ongoing efforts to regulate the cryptocurrency space and hold individuals accountable for financial impropriety. Investors in Hex, PulseChain, and PulseX are urged to seek legal counsel and stay informed about the progress of the SEC's case against Richard Heart.