The FSMA Has Warned the Public About These Brokers
The FSMA or the Financial Services and Markets Authority of Belgium has released warnings about the following brokers. As the number of fraudulent online trading increases, more regulators are issuing red flags and warning the public about how to keep their money secure while trading. In addition, they issue targeted warnings about specific suspicious brokers and financial companies that seem to be frauds.
This is a valuable service. However, one obstacle is the sheer number of warnings as the specter of cyber scams worsens. CryptoCoinTrace experts have aggregated these warnings from regulators worldwide into one place. You can easily access scam broker reviews that will provide more detail about each suspicious financial service and will enable you to research financial services more easily.
What Does The The FSMA Securities Commission Do?
The Financial Services and Markets Authority of Belgium is given the task by the Belgian parliament to supervise and regulate financial markets. This means they oversee financial services that operate within Belgium or have Belgian customers. The FSMA ensures these companies comply with all regulations and issue warnings to the public about potential frauds. They also take disciplinary action when needed and assist law enforcement with their efforts to track down financial fraud.
Common Broker Red Flags
The FSMA issues public warnings against brokers for the following reasons. These are the most common red flags–there may be other problems as well.
- Licensing issues
- Misleading statements
- Non-compliance with regulations
- Proliferation of customer complaints
- Clone broker
- Legal action against the company
One of the most frequent complaints is that a broker is unregulated. This means they operate in Belgium, or at least say they do, but are not under the Financial Services and Markets Authority of Belgium’s supervision. They may hold an expired or revoked license and correctly say they hold a license, but nevertheless, they could be misleading the public. Others have no license at all and may not even pretend to be regulated.
FSMA is also concerned with misleading statements, such as false guarantees of returns on trades or erroneous claims about credentials and statements attempting to lure customers that may not be true. For instance, a number of brokers on this list claim they don’t charge fees when they will charge customers later on in the process.
The FSMA warns the public if the broker doesn’t comply with regulations and if they receive a large number of customer complaints. The problem of clone brokers is prevalent. This occurs when a broker takes a name that is similar to a regulated broker for the purpose of misleading the public. The regulator will also inform the public if the broker is the target of legal action, such as cease and desist orders.
What You Should Do If You Have an Account with These Brokers?
If you currently hold an account with the following brokers, close it and demand an immediate withdrawal of all of your funds. If you do not receive a withdrawal from this broker contact CryptoCoinTrace experts. We consult with clients, advise them on claims and have the tools and methods to track down your funds. The sooner talk to us, the greater the chances of a successful claim!
