France only added two crypto firms to the caution list in 2022

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The French financial markets regulator, the Autorité des marchés financiers (AMF), today shed light on several unregulated forex and cryptocurrency brokers representing their offering under multiple brands.

Blacklisted firms provide professional investment services to domestic clients without proper authorization, which is a criminal offence. The sole reasoning put forward by the AMF is that these companies could be carrying out fraudulent operations and therefore have not received licenses to trade with French customers.

In 2022, the French regulator added 49 Forex investments to its cautionary list compared to 61 in 2021. In the crypto-asset derivatives category, the number of blacklisted websites dropped significantly to just two, from 24 websites added the previous year.

These brokers were also found guilty of making unsolicited calls and sending similar emails to locals regarding online trading, financial counseling and credit without obtaining the necessary approvals.

The regulator has been quite active in monitoring crypto activities, and in addition to these warnings, it prohibits the advertising and distribution of cryptocurrency derivatives.

The well-known details regarding the total advertising ban on certain offerings are all in place, but the update notes that the promotion of cryptocurrency derivatives requires brokers who offer such products to comply with a set of regulations. .

Meanwhile, the recent warning shows that crypto trading remains a major source of fraud in Europe, and while many of these AMF blacklisted companies claim to be based in France, most of the addresses provided are false and the companies are in fact based overseas. .

The published list of providers includes the following domain names:

www.1market.com/frwww.24cryptoforextrading.netbitictrade.comboursecapital.netwww.cryptoneyx.iofr.finaguide.comlions-broker.comwww.multibankfx.comfr.puprime.netraisefx.comwww.t4trade.comtraderhouse.comvalutamarkets.comwww.vestapros.comvirtuscapital. world

The AMF says it continues to receive reports of victims of scams offering to buy shares in listed companies through fraudulent platforms posing as regulated savings account providers. He also advised members of the public to be wary of stock market recommendations given on social media and messaging apps.

These usually come from overseas brokers who target potential victims offering to sell what often turn out to be worthless or high-risk stocks. These callers can be very persistent and extremely persuasive, and their activities have resulted in significant losses for some investors, authorities said.

Another common scam is pump and dump schemes linked to certain penny stocks where scammers try to increase its price by sharing positive, but false information. In this case, they claim that a company has successfully detected cases of coronavirus or developed a new cure to prevent infection.

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