SEC adds fraudulent crypto platforms to its list of public alerts

New additions to the “General Alerts” list

US regulatory authority, Security and Exchange Committee (SEC), just added New companies it calls “misleading” in its blacklistAny platforms that are not registered with the Authority and therefore operate without a legal framework.

In a press release issued on Monday, the Securities and Exchange Commission clarified that the list of “public alerts” is not intended to penalize companies, but is only intended to Warn investors that these platforms are not registered with the regulator. Thus, the probability of being deceived is much greater. But this list does not mean that these companies have violated US securities laws.

The US regulator launched this list in 2007 with the rise of online investing. It aims to warn users of any fraud, scam or fraud risks. Among the misleading platform names Super Binance “,” BTC Investments Or even “Bitpayfxpro”. names that can lead to confusion With the popular Binance and FTX platforms.

The latest additions to the list include Bittrade Capitals, 247Crypto Trade and Bitpayfxpro platforms. The SEC says they all used disinformation to lure primarily non-US investors.

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Desire to maintain a healthy environment

Overall, the companies that ended up on this US authority list suffered from many complaints from users. The SEC has not detailed the reason for these complaints, but one can quickly suspect that users have been scammed.

For example, take the scam platform SuperBinance. If we stick to his name, It can be confused with the popular Binance platform Thinking it is an extension of the existing platform.

An ordinary user who does not do the necessary research can deposit their money and buy cryptocurrencies on this scam platform. Unfortunately for him, since the platform is not registered, it has not gone through the necessary security checks with the US regulator. And therefore , can be deceived.

The SEC has the power to maintain a healthy environment and protect consumers, just like the AMF in France. As a user, it is appropriate to do a search on your own to see if the platform is registered locally.

πŸ‘‰ Related – SEC Refuses To Approve Bitcoin (BTC) ETF Again

Source: SEC

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About the author: Timothy Burnins

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Passionate about the world of investing, cryptocurrencies have been attracting my attention for a few years now. Being very interested in the fields of new technologies and web 3, this is the reason why I naturally wanted to write articles on Cryptoast, in order to contribute to the democratization of this universe in society.
All articles written by Timothy Bernays.

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