BitClout / DeSo / Nader Al-Naji
Summary
BitClout was a blockchain-based social media platform launched in March 2021 by Nader Al-Naji, operating under the pseudonym 'Diamondhands', which later rebranded to the DeSo (Decentralized Social) blockchain. In July 2024, the SEC and DOJ charged Al-Naji with raising approximately $257 million through alleged unregistered securities sales and fraud, while allegedly concealing his identity and misusing at least $7 million of investor funds for personal expenses including a Beverly Hills mansion and cash gifts to family members. Both the DOJ criminal case (dismissed without prejudice, February 2025) and the SEC civil case (dismissed with prejudice, March 2026) were dropped with no penalties, fines, or admissions of guilt, though the documented fundraise scale and the SEC and DOJ allegations remain part of the public record.
Connected Entities
1 entities · 10 linked investigations- + 7 more
Timeline(11 events)
2017-07
Nader Al-Naji begins work on Basecoin (later renamed Basis), an algorithmic stablecoin project.
Fortune2018-12
Basis shuts down and returns approximately $133 million to investors — raised from a16z, Bain Capital, Google Ventures, and others — citing inability to operate in a U.S.-compliant manner.
Fortune2020-11
According to the SEC complaint, Al-Naji begins offering and selling BTCLT tokens under the pseudonym 'Diamondhands,' marking the alleged start of the unregistered securities offering.
SEC Press Release 2024-912021-03-22
BitClout publicly launches with approximately 15,000 pre-populated profiles scraped from Twitter without user consent. High-profile VC backing (Sequoia, a16z, and others) reported despite immediate public controversy.
CoinDesk2021-09-21
Al-Naji publicly reveals his identity, ending operation under the 'Diamondhands' pseudonym, and announces the rebranding of BitClout to the DeSo (Decentralized Social) blockchain with approximately $200 million in disclosed funding.
The Block2024-07-30
The SEC files civil enforcement action (press release 2024-91) in the SDNY charging Al-Naji with fraud and unregistered securities offerings, naming his wife, mother, and four corporate entities as relief defendants. The DOJ simultaneously files a one-count wire fraud complaint.
SEC Press Release 2024-912025-02-28
U.S. Magistrate Judge Henry J. Ricardo approves a DOJ request to withdraw the criminal wire fraud complaint against Al-Naji without prejudice. No conviction or plea entered.
Decrypt2026-03-12
The SEC and Al-Naji file a joint stipulation in the SDNY dismissing the civil enforcement action with prejudice against Al-Naji and all relief defendants. No penalties, fines, or admissions of guilt imposed.
CoinDeskDecision Log
- hash: 33SiTxyDPvC5gB9nyi53CEMu1wn2oVaWxHkV7mhWbJDx
This investigation is cryptographically anchored to the Solana blockchain and source URLs are archived via the Internet Archive.
model: claude-code-investigator
generated: 6/2/2026, 11:06:34 PM
last updated: 6/3/2026, 1:22:35 AM
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