The Financial Services and Markets Authority (FSMA), the financial regulatory agency in Belgium, has recently issued an urgent warning about a new wave of fraudulent trading platforms. These platforms have been operating in the Belgian market, and the FSMA has been receiving numerous complaints from consumers about these suspicious platforms.
The Modus Operandi
These fraudulent platforms are known to arouse consumers’ curiosity by placing scam ads on social media or online video platforms. In these fake ads, a well-known person often explains how to get rich quick. Trading platforms also sometimes use mobile applications to lure victims. These fake ads or mobile applications often offer a virtual currency, trading software, or a training course.
After clicking on the ad or downloading the mobile app and having given their contact details, the victims are usually swiftly called by fraudsters presenting a concrete investment proposal (in shares, alternative investment products, virtual currencies, etc.). Other trading platforms contact consumers through dating apps and fake social media accounts.
The Red Flags
The FSMA notes that several fraudulent trading platforms offer a so-called ‘affiliate programme’ to consumers. These programmes exhibit signs of a pyramid scheme. These platforms act very aggressively. Scammers even try to persuade the victims to allow them to take control of their computer remotely in order to make certain money transfers.
The fraudsters also try to convince the victims to invest increasingly higher amounts of money. They also make promises of repayment in exchange for one last money transfer. This is a technique to collect even more money from their victims.
Victims who agree to do so complain in particular about: finding themselves unable to recover their money, or simply not hearing any more from the platform with which they have invested their money. These are most likely cases of investment fraud.
The List of Suspicious Platforms
The FSMA strongly advises against responding to any offers of financial services made by the following new trading platforms:
- Asia Coinin (www.asia-coinin.com)
- Binotrader (binotrader.com)
- Buxberg (buxberg.com)
- Cedar Financial (cedarfinancial.ltd)
- Central Margins (centralmargins.com)
- Coinclick (coinclickex.com)
- Coins Crossing (coinciros.com)
- Coins Trades (coinstrades.com)
- GLE Markets (glemarkets.com, gle-markets.com, glemarkets3.com)
- Globale-Invest (www.globale-invest.com)
- Grow Deposits (trade.growdeposits.net)
- Itoro-Capital / ItoroStocks (itoro-capital.com; itoro-capital.co; itoro-capital.net)
- Mega Markets (megamarkets.com, mega-markets.com)
- RXK Capital (rxkcapital.com; www.rxkcapital.org)
- STB Markets (stbmarkets.com)
- Stocks Views (stocks-views.com)
- Thinvest (thinvest.com)
Final Thoughts
In conclusion, it’s crucial to be vigilant and exercise utmost prudence when dealing with online trading platforms. Always verify the identity of the company contacting you and be wary of completely disproportionate returns. If a return seems too good to be true, it usually is! Remember, your hard-earned money is worth protecting. Stay safe and invest wisely.