To increase awareness about the risks and scams associated with investing in cryptocurrencies to the general public, the Belgian government has introduced a website.
The FPS Economy (FPS) has announced the initiatives taken by the government in view of the growing interest in cryptocurrency recently. The general public will fall prey to the scams associated with cryptocurrency in view of the greedy.
According to FPS, the investors have suffered a loss of $2.5 million due to the crypto scams last year. Just 4% of scamps related to cryptocurrency are reported. The annual loss of the Belgian investors is estimated at $152 million.
The website unveiled by the Federal Services and Markets Authority and FPS warns the public about the risks involved in pumping money into the cryptocurrency. The fraudsters promises huge profits to lure the investors. They are not trustworthy. The government provides details on the website to educate the public to carefully check the project details before staging a decision to pump in money. It also tells investors to take extra precaution when making payments online for the investment purpose.
There is a big hype about the cryptocurrency. Many people are falling prey to the scams involving crypto. The fraudsters are creating crypto coins for illegitimate purposes such as terrorism, drug trafficking, scams, and other criminal activities.
Be careful about Sites That Promise Handsome Returns
The government tells the investors to exercise extra caution when a site offers handsome returns. The investors can reach the office of the US SEC in case of any doubt.
People are advised not to share personal information. Fraudsters use dubious ways to trick the investors. A scanner tool is provided on the website to verify the websites that run scams or dubious schemes. The users can also provide information about the scam firms on the government website.
A thorough Check is necessary to unearth scams
If the government website doesn’t display a warning, it doesn’t mean that website is genuine. A further analysis is required to check whether it is genuine since some of the websites change the name to escape the regulations.
The US SEC has introduced a scam site that offers ICO to warn the investors about the possible scams.