UK Crypto Investors Beware of the Next Coin Market Scam, Enticing Buyers with False FCA Accreditation Claims

Most cryptocurrency investors take caution in the ways that they take part in the industry. However, even the most conscientious person can be fooled, and that is why the UK Financial Conduct Authority (FCA) is warning consumers about a recent scam involving Next Coin Market. The blockchain startup has been claiming to have FCA accreditation when it, in fact, does not.

The FCA released a statement yesterday on Next Coin Market, also revealing that they have linked themselves to a fake website claiming their accreditation. Based on the information that they have discovered, the FCA is under the impression that this Bulgarian organization is illegal and not authorized to offer cryptocurrency to UK customers. The UK also confirmed that no such accreditation has been given, according to reports from The Next Web.

The FCA has a simple way that investors are able to check the validity of claims like these – through their Financial Services Register at https://register.fca.org.uk/. The company will be listed if it is being regulated. If it is not listed, then consumers will need to refrain from involving themselves with it.

Unfortunately, this is hardly the only circumstance of a company creating a scam website to steal from unsuspecting consumers. Belgian authorities, for example, have been logging scam websites on a ledger, and most of these tracked companies have claimed some fake affiliation to trick investors of their validity. By September 2018, these watchdogs had already documented another 28 scam websites, along with 70 sites that have already been confirmed as hoaxes. By December, the total had grown well past 100 websites.