TL;DR Breakdown
- Central bank of Argentina is investigating crypto investment platforms.
- The country has seen a rise in crypto scam cases.
- The bank has ordered the platforms to stop services.
The Central bank in Argentina has announced that it is investigating several crypto investments over their high yields. According to a recent statement, the Central bank outlined all the measures that it is taking to carry out this investigation. The statement mentioned that most of the companies in this circle deal with digital assets and crypto-related investments. The bank has also gone forward to notify public members about the platforms that provide them with the high yields.
Argentina has seen a rise in crypto scam cases
According to the Central bank, members of the public do not know the risks associated with trading on these platforms. In the same vein, the premier bank says it does not possess the tools to ascertain the kind of risk that the platforms possess. Also, crypto investment companies in some parts of the country have suffered the wrath of regulators after they were caught promising users high yield returns than they can provide. Like the other companies, the Central bank is ready to investigate and sanction these companies if they are found guilty of these offenses.
Central bank of Argentina orders platforms to stop services
A previous report mentioned that most of these companies have taken to social media to launch campaigns and advertisements to lure in more users to their platforms. The bank notified the general public that it is currently looking into companies from La Roja and Catamarca.
This is because they are working hard to lure investors into their illegal profit-making investments. Although Argentina has seen its fair share of crypto scams, the activities of these malicious actors have skyrocketed since the start of the year. A recent statement from a top boss at Bitcoin Argentina warned users to be very careful about platforms on which they will carry their transactions.
According to the CEO of Bitcoin Argentina, most of these platforms are masking themselves with the popularity of Bitcoin and other assets to scam users off their hard-earned money. These investors are promised mouth-watering returns on huge investments only for the organizers to run away with their funds.
With this issue still bothering Argentina, the Central bank boss wants to eliminate them before they become more than they are now. It said it is already stopping these investments in their tracks and is still considering taking legal actions against some that may be found guilty of these acts.
