Daily fraud update: 29th October

Chris Lee

Crypto legalisation on the way for Ukraine

The government of Ukraine has announced that it will create a legal status for cryptocurrency in a move which could have far-reaching effects for those who perpetrate crypto fraud in eastern Europe.

The policies, which are being brought about by the country’s government under the auspices of its new president Volodymyr Zelensky, look set to place a tax on crypto.

It remains to be seen exactly which parts of the crypto sphere will be taxed, although it is believed that crypto mining could be in the firing line.

Money earned through trading crypto assets may also face taxation.

Crypto is popular in Ukraine, with one study suggesting that well over 100% of Ukrainian technology users have crypto of one sort or another.

There are also plans afoot for the government to implement the use of blockchain into the delivery of vital public services, such as identity cards.

Ukrainian Deputy Prime Minister Mikhail Fedorov said in an interview with a local news site that it could help turn the state into a “simple service”.

“I want to turn the state into a simple service… so that when you interact with the state, you feel comfortable, just like

[when]

  you order Uber, or book a room on Booking or Airbnb”, he is quoted as saying.

According to some crypto watchers, bringing crypto into the mainstream like this can help reduce incidences of fraud and other crimes.

Rise in crypto crimes in South Africa

A crypto business leader has turned the spotlight on crypto crime in South Africa by claiming that it has a large-scale crypto problem.

According to Paxful, which is a peer to peer bitcoin-selling marketplace as well as a provider of crypto storage services such as wallets, there has been a general rise in the number of crypto trades placed in the country to the tune of several thousand per cent over the course of a year.

However, the amount of crime is also on the rise, said founder Ray Youssef.

“Bitcoin is secure but sometimes the way we use it is unsafe”, he said.

“We have to treat bitcoin like cash and protect our personal information and passwords the same way we do when we use an ATM or shop online. Once your bitcoin is in the hands of hackers and scammers, it is irreversible, so to have the necessary safeguards in place is critical.”

On a more positive note, he also added that it was possible to reduce the amount of risk.

“For more and more people all over the world, P2P finance is their only hope for financial inclusion and empowerment. While it’s not possible to completely eliminate the risk of crypto fraud and theft, by taking a few simple precautions you can substantially reduce your chances of becoming a victim”, he explained.


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 logo81% 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

    AvaTrade logo
    eToro Logo
    BlackBull Logo Small
    FXTM Logo
    plus500 logo
    XM Logo
    FxPro 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.