SEC tries to fool crypto-investors with fake ICO

A hot initial coin offering gives investors the chance of a lifetime to make money from sun-soaked beaches and crystal-clear waters. It also provides something even more valuable: advice on how to avoid getting ripped off by fraudulent ICOs.

The Securities and Exchange Commission is pitching a fake initial coin offering to educate investors on the pitfalls of too-good-to-be-true ventures. The bogus digital currency, called HoweyCoins, has a sleek website, complete with a white paper, and pictures of made-up celebrity promoters and luxurious destinations. The token’s backers anticipate at least 1 percent daily returns and a hedge against inflation by combining “the magic of coin trading profits and the excitement and guaranteed returns of the travel industry.”

Clicking on “Buy Coins Now!” redirects potential investors to the SEC’s website where they’ll find a stark warning: “If you responded to an investment offer like this you could have been scammed — HoweyCoins are completely fake!”

Source: SFGate

Leave a Reply

%d bloggers like this:
A DAILY ROUNDUP OF THE MOST FASCINATING WALL ST, COMPLIANCE AND REGULATORY NEWS.