Editors News- zfxtrade.com is accused of using the FCA-authorized firm’s legitimate details.
- As per FCA, the website defrauds people in the United Kingdom.
On Monday, the UK’s Financial Conduct Authority (FCA) released a cautionary notice about a clone firm for impersonating the financial trading platform, Zenfinex Group. The authority claims that the website zfxtrade.com uses the FCA-authorized firm’s legitimate details for fraud activities against UK citizens.
FCA declared:
Almost all firms and individuals carrying out financial services activities in the UK have to be authorized or registered by us. This firm is not authorized or registered by us but has been targeting people in the UK, claiming to be an authorized firm.
Frequent Warnings From FCA
The financial authority clarified that ‘zenfinex.com’ is the FCA-approved website to conduct transactions under the firm’s name. FCA stated that the scammers may provide additional false information or mix it with some correct information about the registered firm. They may change their contact information over time to new email addresses, phone numbers, and other details, as per the FCA.
FCA furtherly warned people and advised them to opt to use only authorized firms with caution. It stated that by using an authorized firm, investors can claim access to the Financial Ombudsman Service and FSCS protection on their investments and the services received from the concerned firm. Moreover, as of press time, the clone firm’s website appears to be online, claiming to be the company. It still poses a threat as it continues to use the legitimate details of all the licenses it holds in various jurisdictions.
At the same time, the FCA is implementing great control over digital assets. Recently, the authority announced its collaboration with the US to strengthen cryptocurrency regulation, as per FCA chief executive Nikhil Rathi.
Recommended For You
Source: https://thenewscrypto.com/fca-warns-uk-investors-about-risky-clone-firms/