Crypto Investors In U.K. Lost Over $34 Mln In Crypto & Forex Scams - FCA Report.

Crypto Investors In U.K. Lost Over $34 Mln In Crypto & Forex Scams - FCA Report.

2019-05-21 | Big Bob

Crypto Investors In U.K. Lost Over $34 Mln In Crypto & Forex Scams - FCA Report.

In line with a recent report published by the ‘Financial Times’, the leading Monetary regulator in United Kingdom, the FCA [Financial Conduct Authority], reported that the crypto investors within the country have lost over $34 Mln, well thanks to 'cryptocurrency' and forex scams from 2018–2019.

As per the data, that FCA gathered from the U.K.’s national fraud & cyber crime center, Action Fraud, individual loss due to scams fell from $76,000 USD to $18,500 USD whereas total losses fell by $14 Mln’s.

Moreover, the amount of reports have tripled to reach 1,834, with 81% of such reports being 'crypto scam' claiming.

According to the report, the FCA is also considering a complete ban on “high-risk derivative products associated with crypto assets.”

However for now, FCA executive director named ‘Mark Steward’ warned:

“Scammers can be terribly convincing so always do your own analysis into any firm you're considering investing with, to ensure that they're the real deal.”

The FCA reportedly added that the scammers use social media to seek-out the potential investors. The regulator conjointly noted that these scams usually use images of celebrities with dummy endorsements alongside imagery of luxury products like cars and watches.

Just last year, ICOs [Initial Coin Offering] advisory firm ‘Statis Group’, revealed its analysis report, that found that over 80%of ICOs alone in 2017 were all scams. The associated losses for that year summed around $1.34 Bln’s.

As 'reported' earlier this month, new proof’s has surfaced suggesting that the alleged Bitcoin [BTC] exchange named ‘Goxtrade’ was also one among several other scams within the crypto industry. Goxtrade reportedly used the real names and images of anonymous unaffiliated parties like renowned blockchain figure ‘Amber Baldet’ to fill their web-site staff page and is absent from the U.K.’s registry of companies and businesses.

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