Hawaii State Issues Cease-and-Desist Against Suspected Cryptocurrency Pyramid Scheme
By Daryl Huff, Hawaii News Now
Published May 7, 2026
HONOLULU — Hawaii state officials have taken action against BG Wealth Sharing, a company suspected of operating a cryptocurrency pyramid scheme within the islands. A cease-and-desist order was issued to BG Wealth Sharing and two women affiliated with the company, aiming to halt ongoing solicitations to investors. Meanwhile, federal investigators have also intensified their scrutiny of the organization on the mainland.
Scheme’s Operations in Hawaii
BG Wealth Sharing has reportedly engaged local residents with small initial investments, promising significant returns and encouraging the recruitment of new members to expand the network, according to the state’s securities regulators. The operation gained traction particularly within Hawaii’s Filipino American community.
Joy Arcenas, a California resident, has been a prominent figure in promoting BG Wealth Sharing. In January, Arcenas posted a video expressing her presence in Honolulu for training sessions aimed at top leaders and members. Her social media includes images and videos of BG Wealth Sharing investment gatherings across the western United States. In one video, she detailed how a $333 investment allegedly led her to earn as much as $4,100 a day and $30,000 monthly.
Regulators observed that Arcenas also conducted Zoom webinars designed to educate investors, many of whom were reportedly unclear on cryptocurrency regulations and how to liquidate their investments.
Community Impact and Warnings
Several community members expressed concern over the rapid spread of the scheme. One individual, who wished to remain anonymous, informed Hawaii News Now that the program is influencing multiple generations within families, including elderly relatives, often resulting in financial losses.
“It’s sad that something like this is actually continuing to happen,” remarked Randal Lee, a former judge and prosecutor. Lee noted that pyramid schemes have historically targeted the Filipino community in Hawaii, urging immediate intervention to prevent further proliferation.
Details of the Cease-and-Desist and Regulatory Action
The cease-and-desist order was served to Arcenas, BG Wealth Sharing, and local participant Cranci Ilima Luci Hoopai by state securities investment regulators. The order cites a meeting held at the Nanakuli Library in April attended by 40 to 50 individuals, where Arcenas allegedly claimed that a modest $500 investment could yield lifetime benefits and that individuals could become millionaires within 11 months if they successfully recruited and trained others.
Hoopai reportedly used testimonials from her family members to assert the legitimacy of the investments. However, regulators and experts highlight such promises as unrealistic and indicative of a high-risk investment scheme.
Each party named in the order is mandated to cease soliciting investors immediately and is required to pay $50,000 fines for operating without proper securities broker registration.
Federal Involvement and Company Status
Federal authorities have moved quickly against BG Wealth Sharing’s mainland operations. The Department of Justice recently seized the company’s website under a federal warrant, and reports indicate that BG Wealth Sharing’s bank accounts on the mainland have been frozen as part of the ongoing investigation.
Despite the legal challenges, Arcenas appeared defiant in a video, urging supporters, "I love BG with all my might and protect BG with all your heart."
Advice for Investors and the Public
Randal Lee warns that scammers often discourage members from speaking out by suggesting they may face prosecution. “That is not usually true,” he explained. He emphasized that investors who genuinely believed the scheme’s legitimacy are often treated as victims rather than perpetrators in investigations.
Hawaii state officials remind residents to exercise caution in financial ventures promising extraordinary returns and to report suspicious activities to regulators.
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