{"id":136715,"date":"2018-05-28T05:40:44","date_gmt":"2018-05-28T09:40:44","guid":{"rendered":"https:\/\/insidebitcoins.com\/?p=136715"},"modified":"2021-09-12T19:08:02","modified_gmt":"2021-09-12T23:08:02","slug":"u-s-and-canada-launch-massive-cryptocurrency-fraud-probe-operation-crypto-sweep","status":"publish","type":"post","link":"https:\/\/insidebitcoins.com\/news\/u-s-and-canada-launch-massive-cryptocurrency-fraud-probe-operation-crypto-sweep","title":{"rendered":"U.S. and Canada Launch Massive Cryptocurrency Fraud Probe: \u201cOperation Crypto-Sweep\u201d"},"content":{"rendered":"

The North American Securities Administrators Association (NASAA) <\/b>announced<\/b><\/a> a series of probes related to <\/b>cryptocurrencies<\/b><\/a>, on May 21, 2018. The investigations aim to eliminate the bogus securities offerings from the industry. Additionally, they also target initial coin offerings (<\/b>ICOs<\/b><\/a>) that promise high returns without providing enough information to the investors about the risks.<\/b><\/p>\n

Actions Just the \u201cTip of The Iceberg\u201d<\/h2>\n

Dubbed \u201cOperation Crypto-Sweep,\u201d a group of state regulators has assimilated a task force to probe into roughly 70 such cases, of which about 35 have already been completed or are pending actions from enforcement authorities.<\/p>\n

In a bid to safeguard the interests of investors, the regulators have already sent cease & desist letters to numerous alleged fake schemes, which include websites that used fake photos and office addresses to appear legitimate in order to lure oblivious investors.<\/p>\n

Officials of the regulatory authority have said that one should expect more enforcement actions against companies looking to con cryptocurrency investors.<\/p>\n

Joe Borg, president of NASAA<\/a> and director of Alabama Securities Commission (ASC<\/a>), said:<\/p>\n

\u201cThe actions we\u2019ve taken to date are just the tip of the iceberg. You\u2019re going to see in this space a lot more collaboration and cooperation going forward.\u201d<\/b><\/p><\/blockquote>\n

The regulatory bodies have appealed to the public to come forward with any potential scams they might be aware of. They also urged the investors to be cautious of investing in new companies, schemes without doing exhaustive background verification first.<\/p>\n

It was about time the state regulators cracked down on potential cryptocurrency scams, as the federal regulators have been showing more interest in virtual currencies.<\/p>\n

SEC Chairman: \u201cRegulators Coordinating at International Level\u201d<\/h3>\n

SEC chairman Jay Clayton remarked<\/a> on May 22 that regulators are coordinating at an international level to clamp down on ICOs and crypto-related fraud:<\/p>\n

\u201cI applaud our fellow regulators in the United States and Canada who are coordinating and participating in efforts to police fraud in the Initial Coin Offering (ICO) markets. These state and provincial regulators play a critical role in protecting Main Street investors\u2026 regulators are coordinating on an international level to take strong actions to deter and stop fraud.\u201d<\/b><\/p><\/blockquote>\n

Texas Spearheads Cryptocurrency Crackdown<\/h2>\n

As per a document<\/a> released on May 21, 2018, by the Texas State Securities Board (TSSB), \u00a0the county said that it started its own investigations of cryptocurrency frauds in 2017, taking the lead in managing, organizing, and coordinating with NASAA for \u201cOperation Crypto-Sweep.\u201d<\/p>\n

Travis J. Iles, Commissioner of the TSSB, has placed three enforcement orders after the launch of the operation on December 21, 2017, bringing the total number of legal enforcements to ten. Interestingly, Texas also holds the distinction of being the first state to issue an enforcement order against a fraudulent cryptocurrency-investment promoter.<\/p>\n

Joseph Rotunda, Director of the Enforcement Division of the TSSB, added:<\/p>\n

\u201cAlthough the task force\u2019s work is far from complete, my suspicions have already been confirmed. The market for cryptocurrency investments is saturated with widespread fraud.\u201d<\/b><\/p><\/blockquote>\n

U.S. Authorities Educating Investors on Perils of Crypto <\/b><\/h3>\n

On May 16, 2018, the SEC set up a fake ICO<\/a> to alert na\u00efve and amateur investors against potential cryptocurrency scams. The regulatory body announced a new cryptocurrency \u201cHoweyCoin,\u201d which promised to change the luxury travel industry for good. However, the project was deliberately depicted to be a fake.<\/p>\n

It included all the typical tools one could expect from a bogus company, including a team that had no authenticity on the internet, promising extremely high returns to investors and unverified testimonials from celebrities.<\/p>\n

The post U.S. and Canada Launch Massive Cryptocurrency Fraud Probe: \u201cOperation Crypto-Sweep\u201d<\/a> appeared first on BTCMANAGER<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

The North American Securities Administrators Association (NASAA) announced a series of probes related to cryptocurrencies, on May 21, 2018. The investigations aim to eliminate the […]<\/a><\/div>","protected":false},"author":1064,"featured_media":37195,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-136715","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-more-crypto-news"],"acf":[],"yoast_head":"\nU.S. and Canada Launch Massive Cryptocurrency Fraud Probe: \u201cOperation Crypto-Sweep\u201d - InsideBitcoins.com<\/title>\n<meta name=\"description\" content=\"The North American Securities Administrators Association announced a series of probes related to cryptos dubbed operation crypto-sweep.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"U.S. and Canada Launch Massive Cryptocurrency Fraud Probe: \u201cOperation Crypto-Sweep\u201d\" \/>\n<meta property=\"og:description\" content=\"The North American Securities Administrators Association announced a series of probes related to cryptos dubbed operation crypto-sweep.\" \/>\n<meta property=\"og:site_name\" content=\"InsideBitcoins.com\" \/>\n<meta property=\"article:published_time\" content=\"2018-05-28T09:40:44+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-09-12T23:08:02+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2017\/03\/bitcoin-1813505_1280_featuredv2.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"600\" \/>\n\t<meta property=\"og:image:height\" content=\"310\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Shaurya Malwa\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Shaurya Malwa\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"NewsArticle\",\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715#article\",\"isPartOf\":{\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715\"},\"author\":{\"name\":\"Shaurya Malwa\",\"@id\":\"https:\/\/insidebitcoins.com\/#\/schema\/person\/1f7149b7ce74f29325ce35850d1a5de6\"},\"headline\":\"U.S. and Canada Launch Massive Cryptocurrency Fraud Probe: \u201cOperation Crypto-Sweep\u201d\",\"datePublished\":\"2018-05-28T09:40:44+00:00\",\"dateModified\":\"2021-09-12T23:08:02+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715\"},\"wordCount\":600,\"publisher\":{\"@id\":\"https:\/\/insidebitcoins.com\/#organization\"},\"image\":{\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715#primaryimage\"},\"thumbnailUrl\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2017\/03\/bitcoin-1813505_1280_featuredv2.jpg\",\"articleSection\":[\"More Crypto News\"],\"inLanguage\":\"en-US\",\"copyrightYear\":\"2018\",\"copyrightHolder\":{\"@id\":\"https:\/\/insidebitcoins.com\/#organization\"}},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715\",\"url\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715\",\"name\":\"U.S. and Canada Launch Massive Cryptocurrency Fraud Probe: \u201cOperation Crypto-Sweep\u201d - InsideBitcoins.com\",\"isPartOf\":{\"@id\":\"https:\/\/insidebitcoins.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715#primaryimage\"},\"image\":{\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715#primaryimage\"},\"thumbnailUrl\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2017\/03\/bitcoin-1813505_1280_featuredv2.jpg\",\"datePublished\":\"2018-05-28T09:40:44+00:00\",\"dateModified\":\"2021-09-12T23:08:02+00:00\",\"description\":\"The North American Securities Administrators Association announced a series of probes related to cryptos dubbed operation crypto-sweep.\",\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715#primaryimage\",\"url\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2017\/03\/bitcoin-1813505_1280_featuredv2.jpg\",\"contentUrl\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2017\/03\/bitcoin-1813505_1280_featuredv2.jpg\",\"width\":600,\"height\":310},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/insidebitcoins.com\/#website\",\"url\":\"https:\/\/insidebitcoins.com\/\",\"name\":\"InsideBitcoins.com\",\"description\":\"Search & Compare Brokers within Crypto, Forex & Stocks\",\"publisher\":{\"@id\":\"https:\/\/insidebitcoins.com\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/insidebitcoins.com\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/insidebitcoins.com\/#organization\",\"name\":\"InsideBitcoins\",\"url\":\"https:\/\/insidebitcoins.com\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/insidebitcoins.com\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2022\/07\/insidebitcoins.svg\",\"contentUrl\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2022\/07\/insidebitcoins.svg\",\"width\":195,\"height\":32,\"caption\":\"InsideBitcoins\"},\"image\":{\"@id\":\"https:\/\/insidebitcoins.com\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/insidebitcoins.com\/#\/schema\/person\/1f7149b7ce74f29325ce35850d1a5de6\",\"name\":\"Shaurya Malwa\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/insidebitcoins.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/a971340c109192a97d2b8026b41847ff?s=96&d=mm&r=pg\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/a971340c109192a97d2b8026b41847ff?s=96&d=mm&r=pg\",\"caption\":\"Shaurya Malwa\"},\"url\":\"https:\/\/insidebitcoins.com\/author\/shaurya-malwa\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"U.S. and Canada Launch Massive Cryptocurrency Fraud Probe: \u201cOperation Crypto-Sweep\u201d - InsideBitcoins.com","description":"The North American Securities Administrators Association announced a series of probes related to cryptos dubbed operation crypto-sweep.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715","og_locale":"en_US","og_type":"article","og_title":"U.S. and Canada Launch Massive Cryptocurrency Fraud Probe: \u201cOperation Crypto-Sweep\u201d","og_description":"The North American Securities Administrators Association announced a series of probes related to cryptos dubbed operation crypto-sweep.","og_site_name":"InsideBitcoins.com","article_published_time":"2018-05-28T09:40:44+00:00","article_modified_time":"2021-09-12T23:08:02+00:00","og_image":[{"width":600,"height":310,"url":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2017\/03\/bitcoin-1813505_1280_featuredv2.jpg","type":"image\/jpeg"}],"author":"Shaurya Malwa","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Shaurya Malwa","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"NewsArticle","@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715#article","isPartOf":{"@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715"},"author":{"name":"Shaurya Malwa","@id":"https:\/\/insidebitcoins.com\/#\/schema\/person\/1f7149b7ce74f29325ce35850d1a5de6"},"headline":"U.S. and Canada Launch Massive Cryptocurrency Fraud Probe: \u201cOperation Crypto-Sweep\u201d","datePublished":"2018-05-28T09:40:44+00:00","dateModified":"2021-09-12T23:08:02+00:00","mainEntityOfPage":{"@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715"},"wordCount":600,"publisher":{"@id":"https:\/\/insidebitcoins.com\/#organization"},"image":{"@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715#primaryimage"},"thumbnailUrl":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2017\/03\/bitcoin-1813505_1280_featuredv2.jpg","articleSection":["More Crypto News"],"inLanguage":"en-US","copyrightYear":"2018","copyrightHolder":{"@id":"https:\/\/insidebitcoins.com\/#organization"}},{"@type":"WebPage","@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715","url":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715","name":"U.S. and Canada Launch Massive Cryptocurrency Fraud Probe: \u201cOperation Crypto-Sweep\u201d - InsideBitcoins.com","isPartOf":{"@id":"https:\/\/insidebitcoins.com\/#website"},"primaryImageOfPage":{"@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715#primaryimage"},"image":{"@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715#primaryimage"},"thumbnailUrl":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2017\/03\/bitcoin-1813505_1280_featuredv2.jpg","datePublished":"2018-05-28T09:40:44+00:00","dateModified":"2021-09-12T23:08:02+00:00","description":"The North American Securities Administrators Association announced a series of probes related to cryptos dubbed operation crypto-sweep.","inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715#primaryimage","url":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2017\/03\/bitcoin-1813505_1280_featuredv2.jpg","contentUrl":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2017\/03\/bitcoin-1813505_1280_featuredv2.jpg","width":600,"height":310},{"@type":"WebSite","@id":"https:\/\/insidebitcoins.com\/#website","url":"https:\/\/insidebitcoins.com\/","name":"InsideBitcoins.com","description":"Search & Compare Brokers within Crypto, Forex & Stocks","publisher":{"@id":"https:\/\/insidebitcoins.com\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/insidebitcoins.com\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/insidebitcoins.com\/#organization","name":"InsideBitcoins","url":"https:\/\/insidebitcoins.com\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/insidebitcoins.com\/#\/schema\/logo\/image\/","url":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2022\/07\/insidebitcoins.svg","contentUrl":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2022\/07\/insidebitcoins.svg","width":195,"height":32,"caption":"InsideBitcoins"},"image":{"@id":"https:\/\/insidebitcoins.com\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/insidebitcoins.com\/#\/schema\/person\/1f7149b7ce74f29325ce35850d1a5de6","name":"Shaurya Malwa","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/insidebitcoins.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/a971340c109192a97d2b8026b41847ff?s=96&d=mm&r=pg","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/a971340c109192a97d2b8026b41847ff?s=96&d=mm&r=pg","caption":"Shaurya Malwa"},"url":"https:\/\/insidebitcoins.com\/author\/shaurya-malwa"}]}},"_links":{"self":[{"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715"}],"collection":[{"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/users\/1064"}],"replies":[{"embeddable":true,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/comments?post=136715"}],"version-history":[{"count":0,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/136715\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/media\/37195"}],"wp:attachment":[{"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/media?parent=136715"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/categories?post=136715"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/tags?post=136715"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}