The Financial Markets Authority (FMA) of New Zealand, the government agency responsible for financial regulation, continues with its mission to protect residents of the country from financial fraud, by adding three suspected scams to its warning list this Wednesday morning.
The three potential frauds in question are foreign exchange (forex) broker WiseBanc, crypto firm Bitcoin Revolution Limited, and crypto firm OneLife Network Limited and its associated entity OneCoin Limited.
WiseBanc, which operates via its website https://wisebanc.com, is an online forex broker headquartered in Sofia, Bulgaria but is allegedly registered in Marshal Islands. On its website, the broker claims: “We have helped more than 200,000 traders make money, and we want to help you do the same. Our aim as an online Forex broker is to help you join the league of successful traders and change your life.”
According to the warning from the FMA, the broker is not registered on the Financial Service Providers Register. As a result, the broker is not authorised to provide financial services, such as forex trading, to residents of New Zealand.
Furthermore, the FMA is not the first financial regulator to warn consumers against this company, with the Central Bank of Ireland also blacklisting the firm and Orion Service EOOD, which is WiseBanc’s alleged payment agent. The New Zealand watchdog has also flagged Orion Service EOOD as suspicious.
Legal Risk Factor Beneath Ripple’s Lawsuit from SECGo to article >>
Bitcoin Revolution Limited
Bitcoin Revolution Limited, on the other hand, is a cryptocurrency trading provider that makes big claims on its website such as “Earn up to $1000 per hour or more, starting today!” As the saying goes, if it’s too good to be true, then it probably is, and that seems to be the conclusion the FMA has come to.
Furthermore, the company has also been posting on its social media that the New Zealand Treasury, the current Prime Minister of the country Jacinda Ardern and other prominent figures are investing in Bitcoin, which the financial regulator clarifies is completely false. As a result, the watchdog believes the company could be involved in a scam.
FMA issues latest warning against OneLife and OneCoin
The final warning goes to OneLife Network Limited and its associated entity OneCoin Limited. OneCoin is a cryptocurrency exchange, according to its website and OneLife is a network marketing company.
According to the warning from the FMA, these two firms have been making the rounds, with the watchdog referencing warnings from 14 other financial institutions or regulators against these entities, mostly from European countries.
Specifically, the FMA said: “We recommend extreme caution before investing with OneLife or OneCoin as we are concerned they bear the characteristics of a scam, including withholding client funds and promising unrealistic returns.”
Furthermore, the companies seem to be holding promotional events and seminars in the country where they offer investment services – an act which is breaking New Zealand law as neither entity is authorised to conduct such activities.