• Belgian regulator updates its blacklist of suspicious websites.
  • Investors should cary out due dilligence to avoid scams.

Belgian watchdog, the Financial Services Market Authority updated its blacklist of suspicious websites that offer crypto related services. Now the list contains a total of 99 better to be avoided resources. 
The regulator warned that the citizens should stay vigilant and carry out due diligence investigation of the potential investment target. FSMA provided a short guide on typical scam features and outlined several popular schemes. However, the regulator explains that swindlers are very inventive and good at creating a false impression of a legitimate business.


"Generally speaking, it is hard to tell that one has been the victim of investment fraud. Often for several months, the swindlers manage to maintain the illusion that this is an entirely legitimate and highly profitable investment, thereby encouraging their victims to invest even more.


They do not hesitate to employ various particularly effective techniques to this end. Their websites look very professional: they provide you with a personal space where you can track changes in the value of your investment via well-designed tables and graphs," FSMA states.


Meanwhile, there are several elements typical to scams that should put investors on the alert. For example, swindlers tend to promise a very high rate of return and an ability to withdraw funds at any time with just a couple of clicks. A 100% deposit protection in case of market collapse also doesn't look credible and aimed at luring people into the scheme.


"All these promises are worthless, however: if an offer is fraudulent, the promises that accompany it are equally so." 


To avoid a trap, FSMA recommends to check the company's identity and make sure that they are not blacklisted by any regulator. The Authority reminds that cryptocurrency trading platforms and crypto investment companies.


Earlier this year Australian Competition and Consumer Commission (ACCC) reported that Australian citizens lost AU$2.1 million in crypto related fraudulent schemes.


Read more about online scams and learn how to avoid them.



 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

XRP Price Forecast: Ripple could be on the verge of a breakout to $0.40

After losing more than 60% of its value in December 2020, XRP has been trading sideways without much action throughout 2021. The SEC has sued Ripple alleging that it conducted illegal sales of XRP which they consider a security.

More Ripple News

Bitcoin price shows ambiguity as a 30% move is underway according to technicals

Bitcoin has been trading inside a tight range after establishing a new all-time high at $41,950. The digital asset plummeted down to $30,420 and then formed a lower high at $40,100 followed by what seems to be a higher low at $33,850. 

More Bitcoin News

XLM Price Prediction: Stellar awaits a massive breakout but remains inside a no-trade zone

XLM has continued to trade sideways since we last reported about it. The digital asset remains locked inside a tightening range which will eventually burst. Let’s analyze some of the most important indicators to understand the most likely scenario.

More Stellar Lumens News

Ethereum Price Analysis: ETH bulls facing an uphill task inside short-term triangle

ETH/USD steps back from short-term resistance while declining to $1,256 during early Tuesday. In addition to easing from the immediate triangle’s upper line, Ethereum also drops from a three day high by press time. Monthly top, one-week-old ascending trend line favor bulls.

More Ethereum News

BEST CRYPTO BROKERS/EXCHANGES




Bitcoin Weekly Forecast: BTC price faces extreme volatility ahead of a new all-time high

Bitcoin had a wild run this week, dropping from a high of $41,350 to a low of 30,420 in less than 48 hours. 

Read the weekly forecast

BTC

ETH

XRP