The Italian securities regulator ‘CONSOB’ has suspended 2 projects for allegedly spreading deceitful crypto investment schemes. The 90-day suspensions were reported in an official ‘press release‘ statement on the regulator’s web-site recently revealed on 17th Dec.
The Italian Corporation and Exchange Commission — or CONSOB [ommissione Nazionale per le Societa e la Borsa] — is the Italian analogue of the United Stated SEC [Securities and Exchange Commission] and represents a governmental authority that regulates the Italian Securities exchange.
Both corporations suspended by the CONSOB — Bitsurge Token and Green Energy Certificates — are allegedly illicit projects from Avalon Life, an organization that’s not based within the EU [European Union]. Both have been banned from offering investments for ninety days, ranging from 12th Dec., in line with two official resolutions.
Allegedly illicit scheme Bitsurge was ‘promoted‘ on the web-site at bitsurge.io and on the Facebook page dubbed “Bitsurge Token.” As delineated within the resolution, the corporate was providing investors “token contracts” with monthly returns from six to thirteen percent for capital amounts starting from $1,000 USD to $25,000 USD. The CONSOB document notes that customers reportedly don’t possess any autonomy within the management of their tokens.
The second scheme, named Green Earth Certificates, was reportedly ‘promoted‘ through the Facebook page “Progetto Crypto Green Earth” and offered “Green Earth Certificates” so as to safeguard rainforests from deforestation by buying forest areas via blockchain. The alleged scam meant to offer a six percent reward on the sum of crypto investments in forest areas — like Costa Rica -that have massive areas of rainforests.
Recently, the CONSOB has issued a joint warning with MFSA [Malta’s Financial Services Authority] concerning an unlicenced cryptocurrency exchange named ‘OriginalCrypto’.
Earlier in Nov., the CONSOB conjointly sent cease-and-desists to a few crypto-related corporations for the alleged offering of unapproved investment services.
In respect to the problem of crypto-related advertising on Facebook, the social media giant had antecedently bannned illicit crypto and ICO ads in Jan 2018, claiming that it needed to ban “misleading or deceptive promotional practices” related to cryptocurrencies.
However, the social media entity ‘updated‘ their policy to permit cryptocurrencies ads again later in June 2018, still maintaining their ban on promoting ICO [initial coin offering] projects.