Belgium's FSMA Warns Against Six Unlicensed Crypto-Asset Service Providers

The Financial Services and Markets Authority (FSMA) of Belgium has issued a warning to consumers regarding unlicensed crypto-asset service providers operating in the country. According to the FSMA, these companies are offering services without proper authorization under European Regulation MiCA, which requires them to hold an approval as a Crypto-Asset Service Provider (CASP).

The FSMA has added six entities to its list of fraudulent CASPs: Aurum Foundation, Bank Bit, Bithf Pro, Dxago, Global Dynamic Trade, and ZeriaFunding. The authority advises consumers to verify the authorization status of any crypto-asset service provider before using their services.

Crypto-assets are known for their volatility and lack of liquidity, and the FSMA warns that there is no compensation scheme in place to cover potential losses. Consumers are also cautioned against promotional activities on social media that may be misleading or confusing.