Binance, the largest crypto exchange has recently published a security report. In this report, they mainly focused on the scams which are related to fraudulent crypto investment schemes. Binance report clearly demonstrates how the crypto scams have been targeting those investors who were trying to gain credibility. This report has been prepared by Binance Sentry risk investigation service and was published by the firm on June 30. It has included all those fraudulent schemes which have been promising high returns on the investment.
Binance Report states scams were not only related to Crypto
In this Binance report, it has been specified that these scams were not only related to cryptocurrency. Such crimes are also related to Forex, Contracts For Difference (CFDs) and Binary Options as well. This report is coming after a recent Bitcoin scam in which the residents of Canada and Winnipeg were targeted. It has been mentioned that this type of scam organisations keep getting a regulatory warning. Despite these warnings, they keep doing such practices with different names and targets. In such scams, these organisations keep targeting different things like crypto, Forex and many others.
False consumer organisations created for scams
Binance report also states how some scammers create a kind of consumer organisations in order to attract more people to it. In such organisations, victims end up paying more funds before knowing about the scam. It has been mentioned that such organisations generally try to portray the government and regulators involved in order to gain the trust of the people.
Over the past sometimes it has been seen that many scams with global nature make it highly complicated. Due to such complications, making legal actions against them becomes extremely difficult. The reason is that victims of such global scams are situated in different parts of the world. This is the main reason because of which it is not possible to take legal action under one jurisdiction.
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