New Zealand Authorities (FMA) Updated its Scam Watchlist — Three Crypto Companies were Added

New Zealand Authorities (FMA) Updated its Scam Watchlist — Three Crypto Companies were Added


The New Zealand Financial Markets Authority (FMA) has updated its scam watch list with the names of three crypto and forex related businesses. The companies in question are, Zend Trade, Cryptogain and Russ Horn.

The New Zealand FMA has a List

The list created by the New Zealand agency is referred to as the “Warnings & Alerts” list and it is said to have several names on it. The latest additions to the regularly updated list are Zend Trade, Cryptogain and Russ Horn.

The FMA made this inclusion known in a statement which reads:
“We think the operations of the business/person bear the hallmarks of a scam. We strongly recommend that you do not deal with them.”

The Scam Ventures

The news release from the FMA made the offense of each of these scam companies known. CryptoGain was linked to BitConnect, based on how it operates and several other red flags. The company promised investors a return of about 2.6% on a daily basis.
Going by the information found on the companies webpage, CryptoGain has a plan called the retirement plan. It also has cloud mining packages, with promises about 30% weekly returns on investment. The company also claims that it is a part of a registered company called CryptoGainLimited, this has so far been refuted.

Based on all these, the FMA has labeled the company a scam and has issued a warning regarding it. The other companies – Russ Horn, Forex Equinox, and Zend Trade – are all suspected to be organized under Russ Horn’s leadership.

These two companies were only accused of providing misleading information to potential buyers of their products. Statements such as, “How To Legally Cheat The Forex Markets And Literally Line Your Pockets With Cash.” was found on the website. The website also claimed that the system sold on the page will “double your money every 30 days.”

These statements have so far been reported as false and misleading. Therefore the websites were placed on the warning list.