INVESTOR ALERT: CrypTrade24
FOR IMMEDIATE RELEASE
July 21, 2020
INVESTOR ALERT: CrypTrade24
Bitcoin Trader Claims Northern Manitoba Residence as Canadian HQ. Winnipeg - The Manitoba Securities Commission (MSC) is issuing an investor alert on CrypTrade24, a cryptocurrency exchange claiming it is legally registered in the Netherlands and operating from an address in Manitoba.
The firm’s website, cryptrade24.com, promises up to a 200% return on investment (ROI) within 20 days, and boasts it has “…collected the best from the business of investment under a single virtual roof.”
That ‘virtual roof’ is a two-bedroom bungalow in Churchill, Manitoba.
“A 200% ROI in 20 days is a major red flag for fraud,” says Jason Roy, Senior Investigator with the MSC. “Not to mention, the address had me do a double take.”
An MSC call to the provincial government department that owns the building confirmed the small home in Churchill is currently unoccupied, but is occasionally used a residence for government staff travelling to Churchill for work. They have never heard of CrypTrade24, and no such company, or any other company, is operating from that address.
Following an investigation, MSC is issuing an alert on CrypTrade24 and cryptrade24.com. The company claims to be registered in the Netherlands and operating in Manitoba. CrypTrade24 is not, and never has been, registered to trade in securities in Manitoba. Staff of the Dutch Authority for the Financial Markets (AFM) have confirmed the company is not registered in the Netherlands either.
The British Columbia Securities Commission has also issued an investor caution naming CrypTrade24.
“I’ve seen many offshore trading firms use fictitious addresses, including a Winnipeg parking lot,” says Roy, “Investors cannot rely on the look of a website to determine if it is legitimate, and they can’t rely on how nice the person on the other end of the phone is. Investors need to make sure the person they are dealing with is registered to sell investments in Manitoba. It is the number one way to protect against investment fraud”
MSC advises anyone who is considering buying or selling an investment should practice due diligence: research the company thoroughly and/or talk to their registered investment advisor to ensure it is an appropriate decision. Manitobans should also be aware of the red flags of fraud:
· promises of high returns with low risk,
· pressure to invest quickly / limited time offers
· secret or ‘insider’ information / exclusive offers
· offers from complete strangers
· unregistered salespeople and companies
· inconsistent details / avoiding questions / no paper trail
Before investing check to see if the individual or company are registered to do business in Manitoba. This online check can be done at aretheyregistered.ca.
Members of the public are advised to contact MSC if they believe they have been targeted by any type of investment fraud attempt. MSC’s anti-fraud line is 1-855-FRAUD-MB.
The public can also visit recognizeinvestmentfraud.com for more information on common investment frauds and scams.
The Manitoba Securities Commission is a division of the Manitoba Financial Services Agency, a Special Operating Agency of the Government of Manitoba that protects investors and promotes fair and efficient capital markets throughout the province. -30-
Jason Booth, Communications Coordinator, MSC | 204.945.1660 | firstname.lastname@example.org