On Monday the Financial Conduct Authority (FCA) has published a warning against Coin Boost Inc. for proposing financial services or products in the United Kingdom without authorization. As claimed on their webite, Coin Boost Inc. suggests investment plans for bitcoin traders and markets itself as the most “secured place to invest your bitcoins.” It declares it is a registered legal international investment company in the US and its activities are controlled by the US international business officials. It also demands it acts in accordance with US legislation.
The broker confirms to have an office at 313 Patterson Road, Brooklyn, New York, UNITED STATES OF AMERICA, 11209. The UK regulatory has yet again published an alert to only deal with financial firms that have been authorized by the FCA. Individuals can check the Financial Services Register in order to see whether an organization is authorized.
The watchdog statement also informed the UK investors that if something goes wrong while trading with unauthorized brokerages, they will not be optative to get assistance from the FCA. This warning follows a recent report that demonstrated the grow of online investment fraud, that Finance Magnates reported on in January. The report claimed that investors had lost an average of GBP 87,410 (USD 118, 379) per day during 2017.
The conclusion made by the FCA’s report is that scammers’ tactics have changed and many now utilize social media and other online marketing methods to reach potential investors, instead of approaching them through traditional tactics such as cold calling.