Austrian Regulator Reports Rise in Crypto Fraud

The FMA reports two-thirds of the investment fraud reports filed in 2020 were related to cryptocurrency and digital currency trading products.

AccessTimeIconFeb 19, 2021 at 5:36 p.m. UTC
Updated Aug 19, 2021 at 7:22 a.m. UTC

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

Austria’s Financial Market Authority (FMA) said Friday there has been an increase in crime using cryptocurrencies and stricter regulation is needed. 

  • The FMA reports two-thirds of the investment fraud reports filed in 2020 were related to cryptocurrency and digital currency trading products, according to a Bloomberg report.
  • “We see a great need for stricter regulation,” FMA spokesman Klaus Grubelnik told Bloomberg. “Fake offerings for stocks and gold have been around forever and these scams are now shifting to digital assets because of the hype.”
  • There has been an increasing number of scams using digital currencies advertised on social media platforms such as Facebook, WhatsApp, TikTok, and Telegram, warned the FMA.
  • Grubelnik said prosecution was even more difficult in such cases as investigations usually have to be conducted across borders.
  • Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
    13:18
    Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
  • Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
    05:10
    Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
  • The first video of the year 2024
    04:07
    The first video of the year 2024
  • The last regression video of the year 3.67.0
    40:07
    The last regression video of the year 3.67.0
  • Disclosure

    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.



    Read more about