Hot Features
Premium
Register for real-time alerts, custom portfolio, and market movers
Cryptocurrencies have continued to rise despite the numerous challenges that vendors have been experiencing over the years. With this increase, scammers have invaded the industry. In Singapore, cryptocurrency scammers utilize various methods such as promoting false investments and information online to entice investors.
This led to the loss of approximately $78,000 in the country between September and November. Many websites have been spreading fake claims from high ranking government officials in regard to fraudulent cryptocurrency investment ventures. This necessitated the government of Singapore to sound an alert warning its citizens against participating in complex and illegal Bitcoin schemes.
Reports indicate that cryptocurrency investment scams are exclusively structured to attract Singapore residents. Often, articles published online are paid commercials that feature popular Singaporean celebrities and personalities to recommend the scams unbeknown to them and without their approval. Such glowing tribute will attract many novice investors who are interested in becoming as successful as the featured personalities.
Concern from Local Authorities
During a media briefing held recently, local police announced that the scammers were relying on online articles to enroll investors who are not keen on conducting adequate due diligence.
According to a report shared by CCN in September, one fraudulent cryptocurrency website utilized false comments accredited to the chairman of Monetary Authority of Singapore (MAS) and Deputy Prime Minister Tharman Shanmugaratnam to lure investors to invest their money in a fraudulent Bitcoin scheme.
The website asked users for their personal data such as credit card and bank details, and contact details. When oblivious investors click on links leading to the articles, they are redirected to websites which offer the aforementioned investments. Still, they are required to provide their contact details.
Representatives from the investment schemes then contact the investors. Reports from the police indicate that the schemes are neither recognized nor controlled by the MAS (Monetary Authority of Singapore.)
It’s worth noting that Singapore is one of the most favorable jurisdictions in Asia for blockchain and cryptocurrency technology. Various simultaneous advancements have been made to facilitate the adoption of the government-level blockchain, ICO oversight, and cryptocurrency payment regulation.
Regardless of this, the Monetary Authority of Singapore has not established an exhaustive crypto control structure. Further, no guarantee or protection is given for cryptocurrency investment. Police further state that investing money in a cryptocurrency or bitcoin investment scheme which is operated out of Singapore can increase the risk for Singapore investors.
This is because establishing the identity of the people operating the schemes and the authenticity of their organizations becomes an arduous task. What’s more, there is no Singaporean law that the promoters and representatives of such schemes can be subjected to as much as they may be Singaporeans.
According to CCN (Cryptocurrency News), Singapore is fast becoming a global hub for blockchain and cryptocurrency investment with reports indicating that for the first time ever, the Island state hosted more Initial Coin Offerings compared to the USA in August 2018.
Buying Bitcoin in Singapore
If you want to buy Bitcoins in Singapore, you can do so via a third party broker, Bitcoin exchange, or through a Bitcoin ATM.
A Bitcoin exchange plays the role of your stock exchange, and broker. Here, sellers and buyers converge to trade. The best prices from each party enable the transaction. Individuals earn commissions too.
Foreigners who want to participate in entrepreneurial activities in Singapore must apply for the One Visa. Bitcoin exchange is among the most popular method of purchasing Bitcoins among traders. Before purchasing Bitcoin through Bitcoin exchanges in Singapore, you require a Bitcoin wallet in Singapore and a wallet where you store your cryptocurrency and Bitcoins.
Finally
The cryptocurrency and Bitcoin industry is growing rapidly. Currently, there are no laws that regulate the industry which is why scammers are on the increase. You need to do your due diligence prior to investing in Bitcoin and cryptocurrency.
