Belgium FSMA Warns Against 28 Crypto Websites


Belgium FSMA warns against 28 crypto websites, stating that despite the previous warnings, it continues to “receive new complaints of consumers who have invested in cryptocurrencies through these trading platforms. “

5 September, AtoZ Markets The financial regulatory body of Belgium, the Financial Services and Markets Authority (FSMA) has reportedly added 28 new websites to its cryptocurrency-related scam warning list. The regulator highlights its warnings to investors’ community in a new warning notice that has been issued yesterday, September 4.

Belgium FSMA Warns Against 28 Crypto Websites

In its official alert, the FSMA writes:

“Despite its earlier warnings, the FSMA continues to receive new complaints of consumers who have invested in cryptocurrencies through these trading platforms. Hence, the FSMA repeats its warning against the fraudsters behind those platforms who are using cryptocurrencies to swindle consumers. The FSMA has also updated its list of cryptocurrency trading platforms vis-à-vis which it has identified signs of fraud.”

The FSMA has noted that scammers are smart enough to lure their victims in with promises of easy profits. However, at this point, “the only thing they actually do […] is taking the customers’ money and disappear. It is as simple as that,” says the regulator. 

The agency further states that the updated warning list is not comprehensive, as it has been compiled primarily as the result of victim’s reports. The warnings urge the public to report the further information about any other digital currency-related entities that illegally operate in Belgium. 

FSMA Earlier Warnings

The FSMA has also stated that it wants to invite readers to consult its prior warning dated back to February 2018. The warning includes a testimony from one of the victims of a fraudulent cryptocurrency platform. The agency has described the testimony as “particularly detailed and telling.”

According to the official statement from FSMA, the fraudsters were using the opportunity to swindle consumers. The statement from February 2018 reads:

“In recent weeks, many platforms have appeared on the internet. They all use the same ruse: they claim to offer the best (or one of the best) trading platform(s), enabling both beginners and professionals to trade in cryptocurrencies in a matter of seconds and with full confidence.

‘Invest in cryptocurrencies with full confidence.’

‘Invest in digital currencies in full confidence on one of the most renowned platforms on the market.’

 ‘XXX: trading in cryptocurrencies easily accessible at last!’”

The FSMA further stated that some of these platforms also offer other financial products with cryptocurrencies as the underlying asset. These include savings accounts with apparently assured returns, servicing rights or derivative products such as CFDs.

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