Daily fraud update: 26th September

Denise Jacksone

Dogecoin named as one of most resilient against fraud

A somewhat surprising list of the most resilient cryptocurrencies in the face of fraud has been released.

While the research from analyst Kevin Rooke showed that Bitcoin was by far the most resilient against what is known as a “51% attack” with Ethereum not far behind, meme-based Dogecoin came in third.

A 51% attack is a term given to the hypothetical risk that just over half of blockchain technology could fall into the hands of those with sinister motivations.

Dogecoin is a meme-based cryptocurrency which is popular in Japan.

It is represented by an image of a shiba, a type of dog, and was first launched in 2013.

Rooke calculated the so-called “one hour attack” cost and worked out that while Bitcoin might have a high cost close to one million dollars, Dogecoin’s cost would be well under $100,000.

“Dogecoin is more resistant to a 51% attack than all cryptocurrencies not named Bitcoin or Ethereum”, he posted.

“Yes, Dogecoin, you read that right”, he added.

Warning from FSC over “fake” tokens

The Financial Services Commission (FSC) of offshore haven Mauritius has announced that a potentially fraudulent crypto Ponzi scheme is doing the rounds in the country.

It claims that investors may be being duped by the existence of tokens called “Cloud Token Mauritius” and “Cloud Token Indian Ocean and Africa”, which are accessible through a mobile phone app.

In a statement, the FSC highlighted the fact that these were not registered with it.

“The public is informed that Cloud Token Mauritius and Cloud Token Indian Ocean and Africa and/or any other individuals or representatives operating under these names are not and have not, at any point in time, been licensed and regulated by the FSC”, it said.

It went on to explain that the tokens may well be part of a multi-level marketing programme, which sees people attempting to recruit more people in an attempt to make cash.

“Multi-level marketing (MLM) programs are usually promoted through Internet advertising, company websites, social media, presentations, group meetings, conference calls, and brochures”, it said.

“In an MLM program, an individual typically gets paid for products or services that he/she and the distributors in his/her “downline” (i.e. participants that the individual recruits and their subsequent recruits) sell to others.”

Question marks raised over Satowallet

A cryptocurrency wallet based in Nigeria has been accused of carrying out an exit scam on its traders to the tune of $1 million.

The firm, which was set up in May 2017, was able to deal with a wide range of cryptocurrencies and became popular in the country.

However, a large amount of funds has now become inaccessible.

The firm’s CEO has said that the coins were lost due to technological problems, although there are claims on social media that it is in fact a scam.


Denise Jacksone

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

    XM Logo
    BlackBull Logo Small
    eToro Logo
    FxPro logo
    FXTM Logo
    plus500 logo 80 april 2024
    AvaTrade logo
    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.