Crypto, Forex and Trading Scams: Red Flags and How to Check a Provider
An ad featuring a celebrity, a private group where members post their gains, a platform with an impressive dashboard: fake offers for crypto, forex or “automated trading” have cost thousands of savers dearly. They all share one thing: you watch your money grow on screen until the day you try to withdraw it. Here are the warning signs and the official registers to consult before sending a single euro. This article is informational and is not investment advice.
Key takeaways
- No serious investment guarantees a high return without risk.
- Always check that the provider is registered or authorised and is not on a warning list.
- A “coach” who contacts you privately and asks you to install software is a red flag.
- If you are asked to pay “fees” or “taxes” to withdraw your profits, it is a scam.
- At the slightest doubt, stop paying and keep all the evidence.
How a fake investment platform works
The pattern almost always has three stages. First, the hook: an online ad, a video, a private message or a fake news article promises spectacular gains, sometimes with the image of a celebrity used without consent. Then trust-building: you invest a small amount, a dashboard shows regular profits, and an “adviser” guides you by phone or chat and pushes you to deposit more. Finally, the block: when you ask for a withdrawal, you are told to pay fees, taxes or an “unlocking” charge, or the platform simply disappears.
The dashboard is just scenery: the gains shown do not exist, and the money was collected by the scammers long ago. Some scams build on an emotional relationship nurtured for weeks (a romance scam) before the “right” platform is introduced.
Warning signs to spot immediately
- A guaranteed or very high return (“5% a week”, “capital guaranteed”). Every investment carries risk, and return is linked to risk.
- Time pressure: “the offer ends tonight”, “limited places”.
- First contact in private on WhatsApp, Telegram or social media, followed by an invitation to a group where everyone posts gains.
- A request to install remote-control software (AnyDesk, TeamViewer…) to “help you invest”.
- Unusual payments: transfers to foreign accounts, crypto sent to a wallet supplied by a third party, prepaid cards.
- A recent website with no clear legal notice, no verifiable registration number and a vague address.
- Celebrity endorsements and testimonials. Videos can be faked (deepfakes) and reviews manufactured. See our guide to fake reviews.
- Withdrawals blocked, or conditional on a new deposit.
Official checks before investing
Offering certain financial services requires authorisation. Before any payment, check the official sources for your country. In Europe this typically means:
- Your national financial regulator's register of authorised banks, payment institutions and investment firms (for example the FCA register in the UK, or in France the Regafi register and the ORIAS register for intermediaries and investment advisers).
- The regulator's warning lists of unauthorised websites and entities. The AMF in France and the FCA in the UK, among others, publish them and update them regularly.
- The register of crypto-asset service providers. In the EU, providers must be authorised under the MiCA framework; national regulators and the European supervisory authorities publish lists.
If the provider does not appear anywhere, or appears on a warning list, do not invest. Beware of clones: some scammers reuse the name and registration number of a real firm. Check that the website, email address and phone number match those in the official register, not just the name.
Fake “fund recovery” services
After a first loss, victims are often contacted by a so-called law firm or “recovery service” that promises to get the money back for an advance fee. It is almost always the same gang or an accomplice: you lose a second time. No serious organisation asks for payment up front to recover stolen funds. If you need help, go through your bank, the authorities and consumer organisations.
If you have already invested
- Stop all payments and pay no “unlocking fees” or “taxes”.
- Contact your bank at once to report the payment and ask about options (dispute, recall of a transfer). Speed matters.
- Keep the evidence: screenshots of the site and dashboard, conversations, bank details and wallet addresses, statements.
- Report the site to your financial regulator and the national fraud reporting portal, and file a police report.
- Change your passwords and uninstall any remote-control software installed at someone's request.
Our guide What to Do After an Online Scam details the next steps in order.
Frequently asked questions
Is a guaranteed return ever possible?
A risk-free investment pays a low return. A high return always comes with a risk of loss. A promise of guaranteed gains is the most classic scam signal.
How do I know whether a crypto platform is authorised?
Check your financial regulator's register and warning lists, and confirm that the website's contact details match those in the register.
My gains are rising on the platform. Does that prove it works?
No. On a fake platform the figures mean nothing: the real test is withdrawing money without conditions.
Someone offers to recover my money for a fee. Is it serious?
No. No serious service asks for payment up front to recover funds. It is another scam.