Belgian Financial Regulator FSMA Repeats Warning Against Crypto Trading Platforms
The Financial Services and Markets Authority (FSMA) of Belgium has issued a second warning to the public about scam cryptocurrency exchanges.
FSMA: Number of Fraudulent Crypto Firms Targeting Belgians Grows
In a new warning to consumers, the FSMA has updated its list of scam digital currency exchanges and related companies. The updated message from the regulator follows a reported slew of new complaints from consumers.
The regulator mentions that fraudsters are using cryptocurrencies to “swindle consumers.” Those companies deemed fraudulent by the financial regulator have been added to a growing collection of offending firms.
The new names featured on the FSMA list are as follows:
The list provided by the authority includes companies that offer financial services in or from Belgium that do not comply with existing legislation and companies exhibiting serious evidence of investment fraud.
The list itself is accompanied by a further warning to potential cryptocurrency investors. It states that the names included are by no means the only companies in the space operating illegally. They are simply the ones that have been brought to the regulator’s attention.
The FSMA goes on to encourage those with doubts about the legitimacy of a platform to contact them about their concerns.
Along with the updates to the list, the FSMA issued a new statement to the one presented by the regulators in February. The warning reads:
“Cryptocurrencies are the hype of the year. Fraudsters are well aware of that, and try to attract customers online through fake cryptocurrencies and huge profits. The only thing they actually do, however, is take the customers’ money and disappear. It is as simple as that.”
The previous statement from the regulatory body includes a similar warning to that published today, as well as an extensive testimonial from someone affected by the shady operations of a fraudulent cryptocurrency company.
Similar warnings have now been issued by several financial regulators around the world. Amongst these, Chinese, British, and French regulators have been keen to encourage caution when considering the claims of fintech startups attempting to lure naive investors to part with their cash by fraudulent means.
Elsewhere, financial regulators in both the U.S. and Switzerland have started coming down hard on companies trying to exploit the buzz around the digital currency space.
Featured image from Shutterstock.
The post Belgian Financial Regulator FSMA Repeats Warning Against Crypto Trading Platforms appeared first on NewsBTC.