{"id":293528,"date":"2023-01-31T13:00:47","date_gmt":"2023-01-31T13:00:47","guid":{"rendered":"https:\/\/cryptoslate.com\/?p=293528"},"modified":"2023-01-31T13:08:24","modified_gmt":"2023-01-31T13:08:24","slug":"poached-by-uk-crypto-scams-companies-identified","status":"publish","type":"post","link":"https:\/\/cryptoslate.com\/poached-by-uk-crypto-scams-companies-identified\/","title":{"rendered":"UK home to hundreds of companies running crypto, forex scams"},"content":{"rendered":"

The Bureau of Investigative Journalism (TBIJ) has identified<\/a> 168 companies accused of running crypto or fraudulent foreign exchange trading scams in the U.K.<\/p>\n

Victims of the scams are often approached \u2014 via social media, dating websites, and Whatsapp \u2014 and convinced to invest in crypto trading platforms \u2014 17 of which have been confirmed as “pig-butchering” scams, according to the TBIJ report.<\/p>\n

Losses total $3.4 million \u2013 no sign of recovery<\/h2>\n

The scams have totaled roughly $3.4 million (\u00a32.8 million) in losses from victims scattered across the U.K., the U.S., Canada, Turkey, Germany, and Poland.<\/p>\n

According to the report, most of the 168 companies identified were registered to London addresses and had at least one Chinese director. Loopholes in the U.K.'s company registration system contribute to the scam \u2014 due to the U.K. being viewed as a trustworthy location.<\/p>\n

Government preventative measures warned.<\/h2>\n

The U.K. government pledged to “tighten the rules, including the introduction of a requirement to verify information provided to Companies House.”<\/p>\n

However, financial crime investigator Graham Barrow warned that the reform is a welcome “step forward” but the legislation could pose “significant loopholes” \u2014 including ambiguity surrounding ID verification “for individuals using company service providers to register companies on their behalf.”<\/p>\n

Barrow said:<\/p>\n

\u00a0“We have known for 20 years at least that UK companies are being used in these scams and that we are probably the world's biggest provider of scam companies.”<\/p><\/blockquote>\n

Barrow described the U.K.'s inaction on crypto scams as an “abject failure,” suggesting more needs to be done to prevent these fraudulent activities \u2014 including verifying information provided to Companies House.<\/p>\n","protected":false},"excerpt":{"rendered":"

The Bureau of Investigative Journalism (TBIJ) has identified 168 companies accused of running crypto or fraudulent foreign exchange trading scams in the U.K. Victims of the scams are often approached \u2014 via social media, dating websites, and Whatsapp \u2014 and convinced to invest in crypto trading platforms \u2014 17 of which have been confirmed as […]<\/p>\n","protected":false},"author":1398,"featured_media":293926,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11,9836],"tags":[],"prediction_market_topic":[],"post_folder":[],"acf":[],"yoast_head":"\nUK home to hundreds of companies running crypto, forex scams<\/title>\n<meta name=\"description\" content=\"Though the government plans to tighten registration rules, victims struggle to recover roughly \u00a32.8 million ($3.4 million) in lost funds.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, 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