Austria Financial Market Authority Warns Crypto Investors Against Using Unlicensed Bitcoin Trader
The Austrian Financial Market Authority, FMA, is warning the public against doing any business with cryptocurrency investments websites dubbed Bitcoin Trader. Speaking on Wednesday, the regulator said that, despite the entity carrying out businesses in the country, it hadn’t been granted the licenses to operate yet.
In an announcement, FMA said that Bitcoin Trader is unlicensed to offer bank transactions, even though it has been dealing in them. The authority further noted that the website isn’t allowed to accept and manage funds, pursuant to the country’s Article 1, Paragraph 1, number 1 first case BWG.
Bitcoin Trader, in their website, introduces itself as being a group that exclusively targets those traders who’ve fallen off BTC with “insane profits” silently amassing “a fortune.” It alleges to be operating an “automated trading platform” that runs on their own technology and guarantees a minimum of €1,300 (an equivalent of $1,460) a day.
According to the site, one would only need to spend 20 minutes per day to rack in the promised amount. It even supposes that some of those who’ve already invested in it are reeling away in millions, 61 days after investing.
An MLM for Trading Crypto
Ideally, the website doesn’t charge any commissions for any trade made, although it seemingly assumes the infamous multi-level marketing scheme. In fact, the platform says that their strategy is akin to MLM or affiliate marketing, adding that their proprietary system is powered by an innovative algorithm whose accuracy of winning trades in 99.4%.
The trading platform even presents itself as being a brainchild of Jeff and Mike, two university students. What’s rather eerie about it is that no other information about these two brainy, mysterious founders or their university is mentioned.
The market watchdog has been busy flagging sham investment platforms and Bitcoin Trader isn’t the only one to be highlighted. Just yesterday, the authority warned the public against investing using Universe Markets, another platform that’s also operating unlawfully.