CFTC Adds Six Crypto Firms to Unregistered List

The U.S. Commodity Futures Trading Commission (CFTC) added 34 foreign entities to the unregistered list. Six of them provide services related to cryptocurrencies.

According to the statement, the entities are TradeFinancials, CryptoBO, Bitpay Options, CryptoSphereFX, Direct Cryptos and Prime Crypto FX. The regulator urged users to exercise caution, noting “a large number of fraud complaints.”

“Because they are not registered with the CFTC, protections and guarantees may not apply to customers interacting with them,” — they said at the Commission.

They added that dealing with such organizations carries “significant risks.” Overall, the so-called “red list” has grown to 202 firms.

In November 2020, the Texas financial regulator issued three emergency orders to halt the activities of 14 cryptocurrency companies suspected of fraud.

In March 2021, state authorities brought claims against three unregistered projects. One of them operated under the brand of the bitcoin exchange Binance.

In October of the same year, the New Jersey Bureau of Securities sent to the leadership of five cryptocurrency companies an order to suspend operations amid suspicions of fraud.

In April 2022, the U.S. Securities and Exchange Commission expanded the list of “misleading” organizations linked to digital assets.

Read ForkLog’s bitcoin news in our Telegram — cryptocurrency news, prices and analysis.