Daily fraud update: 18th November

Chris Lee

Other felony charges dropped for alleged forex conman

A man who allegedly attempted to defraud an online foreign exchange trading firm has seen a range of other federal felony charges against him dropped. 

Frederick H. Banks, who was convicted earlier this month on a mixture of counts of wire fraud and aggravated identity theft, was told that he would not face trial for allegedly stalking an FBI agent and for bringing about a supposedly spoof motion in front of the court. 

Prosecutors were told that they had until last week to make a decision – and decided to avoid a further trial now that the alleged forex scammer had been prosecuted. 

Local press in his city of Pittsburgh in Pennsylvania went into detail about the many allegedly spoof claims which Banks has brought in front of courts in recent years. 

He supposedly took a motion to the federal court in Manhattan back in 2014 in an attempt to get rid of charges levied against Bernie Madoff, a financial criminal who ran an investment Ponzi scheme.

Presidential candidate Yang says he will regulate crypto

A Democratic politician in the US who is running for president in 2020 has outlined his plans to impose federal regulations on cryptocurrency in an attempt to combat scams and fraud in the sector.

Andrew Yang, who is an entrepreneur, said that he would attempt to solve a long-running problem in the crypto sphere, namely whether or not crypto coins are securities or tokens. 

He also said that he would create a Department of Technology as part of the federal government. 

Writing in a blog post about the broader technology sector, Yang laid the blame for crypto scams squarely at the feet of the “lack of regulation”.

“Cryptocurrencies are seeing levels of fraud because of the lack of regulation”, he argued. 

“Other countries, which are ahead of us on regulation, are leading in this new marketplace and dictating the rules that we’ll need to follow once we catch up.”

He emphasises the problems thrown up by the divergence in regulations between states and even equal federal departments.

“Currently, different departments of the federal government consider digital assets as property, commodities, or securities”, he said. 

“Some states have onerous regulations in the space, such as New York’s BitLicense. Navigating this has had a chilling effect on the US digital asset market”, he added.

As president, he claims, he will define “what a token is, and when it is a security” – and also define “which federal agencies have regulatory power over crypto/digital assets space”.

Yang is currently not elected to any public office and works as an entrepreneur. 

His other policies include a form of universal basic income. 

He is currently scoring low in the polls for the Democratic primary nomination and is far behind more high-profile candidates such as Joe Biden, Bernie Sanders and Elizabeth Warren.


Chris Lee

Latest news

Forex vs Crypto: What’s Better For Beginner Traders?
The crypto and forex markets are two of the world’s most popular among investors and traders. Read more
Three Great Technical Analysis Tools for Forex Trading
You don’t have to be very technical minded to make use of technical analysis in your forex trading. Read more

Safest Forex Brokers 2024

Broker Info Best In Customer Satisfaction Score
#1 73% of retail CFD accounts lose money. Founded: 2014 Global Forex & CFD Broker
Number One Broker
Best Trading Conditions Visit broker
4.9
#2 Blackbull LogoYour capital is at risk Founded: 2014 Global Forex Broker
Number One Broker
BEST SPREADS Visit broker
4.8
#3 AvaTrade LogoYour capital is at risk Founded: 2006 Globally regulated broker
Number One Broker
BEST CUSTOMER SUPPORT Visit broker
4.9
#4 plus500 logo 80 april 2024* 80% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money Founded: 2008 Global CFD Provider
Number One Broker
Best Trading App Visit broker
5
#5 Between 74-89 % of retail investor accounts lose money when trading CFDs Founded: 2010 Global Forex Broker
Number One Broker
Low minimum deposit Visit broker
4.9
#6 Forex Broker eToro Logo76% of CFD traders lose money Founded: 2007 Global CFD & FX Broker
Number One Broker
ALL-INCLUSIVE TRADING PLATFORM Visit broker
4.9
#7 XM LogoYour capital is at risk Founded: 2009, 2015 and 2017 Global Forex Broker
Number One Broker
Low minimum deposit Visit broker
5
#8 FxPro LogoYour capital is at risk Founded: 2006 CFD and Cryptocurrency Broker
Number One Broker
CFD and Cryptocurrency Visit broker

    Forex Fraud Certified Brokers

    BlackBull Logo Small
    eToro Logo
    AvaTrade logo
    XM Logo
    FXTM Logo
    FxPro logo
    plus500 logo 80 april 2024
    CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.