New Zealand’s Financial Markets Authority (FMA) has issued a warning about an unauthorized clone of the BTCSWE crypto exchange. This imposter has allegedly been reaching out to customers, making promises to recover funds lost in previous unsuccessful investment endeavors.
The FMA identified two fraudulent entities on Wednesday: BTCSWE and Grandeur Capital Pro. While BTCSWE is a legitimate cryptocurrency exchange licensed under the FMA, the regulators have confirmed that it has been impersonated as part of a broader recovery scam.
According to the FMA’s advisory, the clone exchange has been providing falsified documents to convince victims of its legitimacy. Victims are then coerced into paying a contract fee over several months to purportedly retrieve their lost funds.
Additionally, the impersonators have instructed victims to install “anydesk” software, which allows remote access to personal computers and other devices. The FMA strongly advises individuals who have installed such software to seek assistance from IT professionals immediately.
Furthermore, the FMA has flagged another fake trading platform, Grandeur Capital Pro, which claims to operate from a New Zealand address. However, the FMA doubts the authenticity of this claim, citing potential false registration and licensing information on their website.
The rise of cryptocurrency in New Zealand has opened the door to increased fraudulent activities. With projections indicating significant revenue growth in the crypto market, the Reserve Bank of New Zealand has intensified surveillance of the sector.
The FMA has issued several warnings in the past against crypto fraudsters and impersonators, including Krypto Security and Bay Exchange, neither of which are regulated by the FMA.
New Zealand authorities have remained cautious about crypto integration, as evidenced by a comprehensive report from the Finance and Expenditure Committee, which highlighted the risks associated with incorporating crypto into the country’s payment system.
Recent remarks from New Zealand’s central bank governor, Adrian Orr, have further underscored concerns about digital currencies’ stability, particularly stablecoins, labeling them as “misnomers” and “oxymorons.”