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Cryptocurrency broker Crypto300 Club appears to be engaged in fraud against California consumers

Oct 19, 2021

The California Department of Financial Protection and Innovation (DFPI) has received a complaint from a California resident regarding a crypto investment scam.

The victim told DFPI he was scammed into transferring money to an online crypto trading company, after hearing about it from a person on Facebook. The victim transferred cryptocurrency to the company which claimed it would pool investor money into “Crypto Packs” after which its traders would “invest” club money, promising they could earn a minimum of 150% annually and that they would pay each member daily. The company operates a website called Crypto300Club.

This appears to be what is commonly called an “Advance Fee scheme,” which can take many forms, as discussed here: https://www.fbi.gov/scams-and-safety/common-scams-and-crimes/advance-fee-schemes.

The DFPI urges consumers to exercise extreme caution before responding to any solicitation offering investment or financial services. To check whether an investment or financial service provider is licensed in California, consumers may contact the Department for questions or inquiries at ask.dfpi@dfpi.ca.gov or call toll-free at (866) 275-2677. If a consumer believes a person or company has violated state law or acted improperly regarding a consumer financial product or service, they may file a formal complaint with the DFPI at https://dfpi.ca.gov/file-a-complaint/.

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Last updated: Oct 22, 2021 @ 12:08 pm