One of the companies promises a profit of 1,400% in just five days.
The Texas state financial regulator in the US has ordered 15 companies offering crypto, forex and binary options services to close their operations immediately. The agency issued 3 warnings alleging that they promote fraudulent investments.
The Texas State Securities Board (TSSB) has listed ten companies that offer illegal digital currency investment services.
In the alert, the companies offering crypto-currency services were:
- Proactive Expert Trading
- Reliable Miners
- BitcoinFX Options
- Sure Trade Earnings
- Proactive ExpertTrade
- ReliableFX Internal Trade
- MaxFX Internal Trade
- AntPoolTop Mining
The U.S. regulator found that a single man promoted the 10 companies on social networks of Bitcoin Future scam, the promise was $2000 in 3 days. He uses his reach in social media to promote the scams.
It is worth remembering that several of these companies target victims all over the world, including Brazil, deceiving people through telegram groups.
The binary option companies were alerted:
- Binary Trade Forex
- FX Trades
- According to the regulator, the trio is not allowed to sell securities. They are selling „highly profitable and low risk“ investment promises.
„These three online platforms are recruiting investors by illegally promoting investments in forex, binary options and crypto currency.
The platforms are not licensed to sell securities in Texas and have not been registered with the agency.
Another alerted company offers binary options services with cryptomotes:
- GenuisPlanFx and (GenuisPlanFxPro).
The regulator discovered that the company falsely claims it has international financial licenses to operate.
The US state of Texas has classified the 15 companies as scams.
Surreal Income Promises
The regulator claims that companies attract investors with promises of stratospheric returns. One promises profits of 1,400% in just five days.
Companies offering cryptomorphic services promise daily returns of 30-120%, depending on the ‚package‘ the customer buys. The FX Trade website has a message that says „100% guaranteed profit“.
Binary options companies claim to be licensed in the US, but this is not true.
The document lists a number of problems with companies, but the main one is the promise of guaranteed profits, just like similar companies in Brazil.
The Texas regulator is one of the most active state regulators in the cryptomaniac market, acting in conjunction with federal authorities to persecute companies that try to mislead investors.
„This series of actions clearly demonstrates the risk of dealing with online investment platforms,“ said the TSSB Commissioner. „Investors cannot afford to consider everything at face value when making transactions over the Internet. They need to investigate thoroughly before investing – because on the internet, anyone can falsify a commercial licence, publish false statements or falsely claim to be regulated by an agency“.