SoMo CREDIT Crypto Scam
If you are considering trading in crypto currency, SoMo CREDIT should be on your radar. The company claims to be CySEC regulated and offers group courses to train you. However, the company denies withdrawal requests and is an offshore broker. If you are considering investing in cryptocurrency, be very careful and do your research before signing up with SoMo CREDIT.
It claims to be regulated by CySEC
The SoMo CREDIT crypto scam is a new scam that aims to take advantage of a lack of regulation regarding cryptocurrencies. It claims to be regulated by CySEC, but it is not. The regulator has no authority to ban advertisements, and it only has the ability to ask internet companies to remove ads of regulated financial services. That means that scammers and promoters of high-risk schemes can place their advertisements on Cypriot websites.
As trading in crypto currencies is speculative, the firms involved must warn clients that their capital is at risk. This means that the unscrupulous providers of these products will engage in aggressive cold-calling tactics, which can be carried out through email, telephone, and online pop-ups. Nevertheless, it's worth noting that CySEC has issued several announcements to combat the fakes and protect investors.
In the case of SoMo CREDIT, the website claims that the company is regulated by CySEC. However, CySEC does not authorize class actions and does not monitor payments between entities. This means that scammers can use CySEC's name and reputation to lure investors.
Despite claiming to be regulated by CySEC, SoMo CREDIT is a fake broker that has been providing financial services without authorization from the regulatory body. Moreover, it appears to be a shell company. Another scam that claims to be regulated by CySEC is Atecs Capital, a crypto CFD broker. This company does not use MetaTrader and works on a proprietary trading platform. In addition, it requires a $500 minimum deposit. The company is managed by Altos Group Ltd, which is likely based in the Republic of Dominica. They are not regulated by CySEC and have no license.
CySEC is not the only financial market regulator, however. A number of other regulators are actively monitoring illegal trading platforms and adding names to their caution lists. The Italian financial market regulator has even been known to block access to fraudulent trading platforms. Regardless of whether a crypto exchange is regulated, it's still vital to do your homework before you invest your money.
It denies withdrawal requests
In order to avoid falling victim to an SoMo CREDIT crypto scam, the following facts should be considered: 1. It is an offshore broker; 2. It offers suspicious trading conditions; and 3. It does not have a licensed financial institution. These are all signs of a fraudulent offshore broker. If you've invested your money in SoMo CREDIT, you should immediately stop using it and seek alternative funds.
- It is a common practice for brokers to deny withdrawal requests. Traders should document their account status and any withdrawal requests made at any given time. However, some brokers use a loophole to void withdrawal requests. For example, they will use a bonus trade requirement as a reason to deny withdrawal requests.
- The broker doesn't respond to emails. Sometimes, brokers will refuse to respond to emails and say your email address is whitelisted. This lack of communication is an indicator of a scam. If you receive no response, it's important to find a new broker or a trusted one.
It is an offshore broker
When choosing a broker, it is essential to consider the regulation of the firm. Brokers who are not regulated in their home country may not comply with regulations. As such, there is a possibility of them not paying the money they owe their clients. There are also concerns that unseriose brokers may try to steal the money of their investors. However, European financial oversight bodies are doing their best to protect investors from these scams and publish a list of unserious brokers.
A company called Market & Business Consulting Advisors is behind the SoMo CREDIT crypto scam. They are based in Spain and are affiliated with a Spanish company. However, they operate as an offshore broker, which is a major red flag. It has been in the news for a while and has attracted negative attention from many investors.