FSMA identifies new fraudulent online trading platforms


INSIGHT
Published
Sep 14th '22
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During the last weeks, the Financial Services and Markets Authority (FSMA) continued to receive complaints from consumers concerning new fraudulent online trading platforms that are operating in the Belgian market.

 

These trading platforms try to arouse consumers’ curiosity by placing scam ads on social media. In these fake ads, a (well-known) person often explains how to get rich quick. Trading platforms also use mobile applications to lure victims. These fake ads or mobile applications often form part of the offer of a virtual currency or 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 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.

 

FSMA notes that several fraudulent trading platforms propose a so-called ‘affiliate programme’ to consumers. These programmes exhibit signs of a pyramid scheme or at any rate of a Ponzi scheme.

 

FSMA noticed that the following websites for trading softwares and courses refer to fraudulent online trading platforms:

 

  • BiTraderPro (bitraderpro.com)
  • Trading Central (tradingcentrals.com)

 

Moreover, various new trading platforms have appeared on the internet in recent weeks.

 

The FSMA strongly advises against responding to any offers of financial services made by the following new trading platforms:

 

  • Bitalpha AI (bitalpha-ai.io, bitalpha-ai.nl and bitalpha-ai.org)
  • Bitopps (www.bitopps.com)
  • Bullden (bullden.io)
  • Capital Forex Live Limited (capitalforex.live)
  • Capital One Markets (capitalonemarkets.com)
  • Capitals Trade Fx (capitalstradefx.com)
  • Cedar Signals (cedarsignals.live)
  • Crypto1Capital (platform.crypto1capital-trade.com and crypto1capital.com)
  • Cryptoneyx (www.cryptoneyx.com and www.cryptoneyx.io)
  • Definite Area (definitearea.com)
  • DGTL-Trade (dgtl-trade.com)
  • Ejinvesting (ejinvesting.com)
  • Finutrade (finutrade.com)
  • FX EliteTrader (fx-elitetrader.io)
  • GFE Markets (gfemarkets.com)
  • Gigachains (www.gigachains.com)
  • Green Capitalz (greencapitalz.com)
  • Greenlinepro (greenlinepro.com)
  • Gstock (gstocklegal.com)
  • Hubblebit (hubblebit.com and hubblebit.vip)
  • Icorp Securities (icorpsecurities.com)
  • Inetmarkets (inetmarkets.com)
  • JH Group (hk-atf.com)
  • Marketsbank (marketsbank.com)
  • MiningFXbitcoin (miningfxbitcoin.com)
  • NABCrypto.io (nabcrypto.io)
  • Onotex (onotextrade.com)
  • Plus12 (plus12.io)
  • Priority Markets (priority-markets.com)
  • Profi Trade 24/7 (profitrade247.com)
  • Quantrix-Capital (www.quantrixcapital.net and www.quantrix-capital.com)
  • Quantum AI (quantum-ai-trading.com)
  • Skynettrades (skynettrades.com)
  • Smart Trade Group (smart-trade-group.com and smart-trade-group.net)
  • Swisschains (www.swisschains.com)
  • Tandem Markets (www.tandemmarkets.com)
  • TradeBaionics (www.tradebaionics.com and www.tradebaionics.net)
  • Trade-Coin (trade-coin.com)
  • Uniglobal Invest (uniglobal-invest.com)
  • UXTrades (uxtrades.com)

 

In order to avoid fraud, the FSMA addresses the following recommendations to investors:

 

Always check the identity (company name, home country, registered office, etc.) of the company. If the company cannot be clearly identified, it should not be trusted.

 

Always verify if the company in question has the requisite authorization. To this end, an easy search on the financial supervisory authority’s website will do. Important! Always beware of ‘cloned firms’: companies that pass themselves off as different, lawful companies even though they have no connection with them. A close look at the email addresses or contact details for the companies in question may prove useful in order to detect this type of fraud and prevent it.

 

More than ever, prudence is necessary. In case of any doubt, and before making any (more) payments, do not hesitate to contact the FSMA using the consumer contact form. As well, please feel free to notify it of any contact with a suspicious company that has not yet been the subject of a warning by the FSMA.

 

Should fraudsters moreover manage to take control of your computer, the FSMA recommends that you contact your bank and, if necessary, that you change your passwords.

 

For more recommendations aimed at avoiding investment fraud, the FSMA invites investors to consult the ‘How to recognize and avoid fraud?‘ page on its website. Also watch the new awareness campaign videos (available in French or Dutch only).

 

Source: FSMA

 

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