The agencies also provided six warning signs that investors should look for before making financial commitments in any crypto-related project. A warning to investors about potential cryptocurrency scams has been jointly issued by Commodity Futures Trading Commission ( SEC ) and CFTC ( Commodity Futures Trading Commission ). The scams involve fraudsters posing as crypto trading businesses and collecting funds from investors. After investments are made, victims often never hear from the perpetrators again. The agencies have provided six warning signs for identifying when schemes may be a scam, including offers of guaranteed high returns and sellers lacking a licence. The agencies are encouraging investors to cross-reference scheme operators with the Commodity Futures Trading Commission 's official licence database, noting unlicensed investments likely represent a scam.
A warning to investors about potential cryptocurrency scams has been jointly issued by Commodity Futures Trading Commission ( SEC ) and CFTC ( Commodity Futures Trading Commission ). The scams involve fraudsters posing as crypto trading businesses and collecting funds from investors. After investments are made, victims often never hear from the perpetrators again. The agencies have provided six warning signs for identifying when schemes may be a scam, including offers of guaranteed high returns and sellers lacking a licence. The agencies are encouraging investors to cross-reference scheme operators with the Commodity Futures Trading Commission 's official licence database, noting unlicensed investments likely represent a scam.