Cease and desist directives-cum orders have been issued on an emergency basis by the Securities Commissioner in Texas. Through the orders, the Commissioner has ordered the closure of three crypto investment vehicles forthwith which are conducting business under the title “Binance Assets”. The Commissioner noted all three platforms to be fraud schemes.
Travis J. Iles who is the Securities Commissioner in Texas has issued cease and desist orders on an emergency basis. The orders have been passed by the Commissioner on 22nd March (Monday), 2021. Through the orders, the Commissioner has directed the implementing authorities to immediately shut down three crypto investment vehicles.
It was noted by the Commissioner that there are several investment vehicles relating to crypto which are using a trusted crypto trader’s name. The Commissioner pointed out three different entities were using fake and/or deceptive names. It was further noted by the Commissioner that all three platforms were bogus and in fact fraudulent investment schemes.
It was reported that the accused investment entities were Digitally Invest, Delta Crypt Ltd., and Fxsmart Robots. If one is familiar with the crypto industry, he will instantly notice that all these names are similar to major crypto exchanges. However, there is a switch of letters here and there which is done deliberately for causing deception and deception. For instance, Delta Crypt Ltd. is also known by another name i.e. Binance Assets. Of course, there is a crypto trading platform called Binance but there isn’t anything called “Binance Assets”.
Similarly, there is a difference between Digital Invest and Digitally Invest. However, only the “Digital Invest” is an authentic company while the other is a made-up name with a switch of letters.
In the order, the Commissioner observed that none of these entities are registered under the laws of the US. He further observed that neither permission was obtained from these entities to establish business in Texas.
Meanwhile, in the Philippines, the securities watchdog also issued public notice. In this notice, the watchdog warned the public to beware of a crypto platform called Delta Crypt. It also noticed that the platform was bogus and established to commit fraud upon people. The authority further warned that the so-called Delta Crypt was engaging in illegal activities of trade. It told that no permission was sought from the authority by the operators of Delta Crypt.
Thereafter, when the orders of closure of business were received at the end of Delta Crypt, USA, the company closed its website. However, later on, the company changed its name and opted to use the name of “Binance”. It then inculcated three totally different businesses under the names “Binance Assets”, “Bit Kind Ltd” and “Binanceassets Ltd”.
The company is still offering investment opportunities in crypto and guaranteeing returns on investments. No further action has been reported yet.
The story is continuing and will be updated upon further information.