These 19 Crypto Trading Platforms Are Fraudulent – Belgium Warns

(Belgian Financial Authority Warns Of 19 Cryptocurrency Trading Platforms Showing Signs Of Fraud

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  • Belgian Financial Authority Warns Against 19 Cryptocurrency Trading Platforms.
  • It claims the Trading Platforms Show Signs Of Fraud.

Belgium: The Belgian Financial Services and Markets Authority has recently warned investors against fraudulent crypto trading platforms. The authority has also published a list of 19 crypto trading platforms that it “has received questions or complaints from consumers about and has established indications of fraud.”

According to FSMA, the following are the fraudulent platforms: 01crypto, BTC-cap, Capital-coins, Coinquick, Cryptavenir, Crypto-banque, Crypto-infos, Cryptos.solutions, Cryptos-currency, Ether-invest, Eurocryptopro, Finance-mag, Gme-crypto, Gmtcrypto, Good-crypto, Mycrypto24, Nettocrypto, Patrimoinecrypto, and Ydconsultant.

Also read: Finland Banks Closed Down Bitcoin Dealer Prasos Oy Bank Accounts

FSMA, however, emphasized that this list doesn’t include all dubious crypto trading platforms, but only the platforms which customers have filed reports about. The agency also noted that a number of new crypto trading platforms have surfaced online, using similar methods to lure investors. According to the financial watchdog, these platforms “claim to offer the best (or one of the best) trading platform(s) on which, both beginners and professionals” can trust and trade on instantly.

Complaints received by the FSMA include customers’ inability to reclaim their invested money and customers’ inability to contact the company once they have invested. According to an affected customer:

I invested via a platform that claimed to have a license. When I asked for the refund of my money, I was promised that my money would be refunded on a certain date. However, I have never received anything and now I do not even get access to the platform.

In its warning, the agency advised investors to be careful and “remain vigilant for all indications of investment fraud.” The agency also recommends that investors “always verify the identity of the company (identity details, country of residence, etc.),” and also to “Never trust a company if it cannot be clearly identified.”

FSMA warns investors to be cautious of crypto trading platforms that claim to have been licensed by a supervisory authority, adding that presently “no supervision is exercised on online platforms that are active in the cryptocurrency sector.” Moreover, most of these platforms were established less than a year ago.

Investors should also “demand clear and understandable information” from the platforms and “remain critical of that information,” FSMA explained:

Many platforms for crypto trade promise a guaranteed return or full capital protection. However, those promises are one big illusion in the crypto-coin sector! If an offer is fraudulent, the promised guarantee is undoubtedly [too].

Conclusively, the agency warns investors to “be wary of (promises of) excessive profits. If a return seems too good to be true, it usually is.”

What do you think about FSMA’s warning against these “fraudulent” crypto trading platforms? Tell us in the comments box below.


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