Sat 31 Dec 2022 ▪ 7:00 pm ▪
min read – from
2022 will remain a particularly challenging year for the cryptocurrency industry. Between the price of Bitcoin taking a huge drop, the FTX bankruptcy and cryptocurrency hackers, investors have seen it all. While we thought about leaving the inn, another report from the California Department of Financial Protection and Innovation (DFPI), the Californian cryptocurrency regulator, plunges us back into a negative spiral. In fact, the organization has just compiled a list of 17 crypto brokers it suspects of fraud. This alarm is chilling, especially when you know that there hasn’t been an alarm like this since July. At that time, it was on 26 crypto platforms weighing scam suspicions.
DFPI lists 17 malicious crypto brokers
We’re going to have to be very careful going into the year, at least that’s the message the DFPI is trying to get across. The organization comes from publish a rather startling list of 17 suspected “rogue” cryptocurrency brokers. It therefore attracts the attention of investors, to avoid reliving the trauma of the FTX crypto exchange. Within two days, the DFPI, in turn, sued the platforms it suspected of fraud. In the list in question we find quite well-known names such as Tony Alin trading company, Tahoe Digital Exchange, Unison FX, ZC exchange And the list is not exhaustive.
What is most surprising is the presence of two copy sites. The platforms in question allegedly pose as two of the best brokers in the cryptocurrency industry. These are precisely: eth Wintermute.net and UniSwap LLC. According to our source, the 17 crypto platforms “appears to be engaged in fraud against California investors”.
As we said, it is rare to see the DFPI issue so many alerts within a few days. This is proof that cryptocurrency indicators are on the rise in the last few days of the year. The Californian organization had accustomed us to making fairly summary publications. Most often these are investigations into certain companies or reports of incidents.
You have to go way back in the month of June to see a similar notice. The DFPI then presented a list of 26 rogue crypto platforms. These alarms were the result of complaints from investors who suffered losses ranging from 2000 to 1.2 billion dollars. The organization insists on the term scam, because the perpetrators pretend to be friends or relatives to gain the trust of the victims. The ultimate goal is to get investors to invest money on duplicate sites by believing they are investing on real sites.
Crypto scam is an integral part of the industry. The recent publication of the DFPI’s 17 dubious platforms is a tangible example of this. The California agency asks consumers to pay attention because once the scam is committed, it becomes practically irreversible.
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PhD student in financial law and expert SEO web editor, Cédrick Aimé is passionate about cryptocurrencies, trading, etc. He naturally participates thanks to his articles in the daily blockchain revolution for a better democratization of DeFi.