Washington State Department of Financial Institutions
Washington State Department of Financial Institutions
14/08/2024 | Press release | Distributed by Public on 15/08/2024 00:16
Cryptocurrency Trading Platforms Bccrypto.com; Tussmart-c.com; Trimamex.com Appear to have Engaged in Fraud
The Washington State Department of Financial Institutions (DFI), Securities Division has received a complaint that a purported cryptocurrency trading platform using the websites bccrypto.com and tussmart-c.com, may have engaged in fraud. It appears the websites are no longer active.
The investor reported learning of the bccrypto.com trading platform (later changed to tussmart-c.com) from a Florida resident going by the name Daira Emma Louie or Louis (Louie). Louie communicated with the investor via Twitter/X and Telegram. She walked the investor through the steps to open a DeFi wallet and begin trading on bccrypto.com. The investor invested a total of $3,000 to test the program out, by sending ETH (Ether) to wallet address, 0x5396db626FE4d757dD5e7fa9d749239D76E663Bc. Louie instructed the investor on which cryptocurrencies to trade and when. At first, the investor withdrew funds from the account without problem. Thereafter, over a one-week timespan, the investor wired additional funds totaling $9,000 to two different Hong Kong bank accounts, in the name Shi Shao Feng (or Shi Shaofeng), to be used for trading on bccrypto.com. At one point, the investor's trading account appeared to grow to a value of $38,000.
Subsequently, the investor was informed another $50,000 was required as they were moving into a new trading program. The investor requested to withdraw funds from the account instead and began running into roadblocks - including a demand for $16,800 "risk capital". Online service messages claimed additional funds were necessary due to "Trust Wallet international options trading account rules", and further stated, "it is useless for you to consult anyone."
An individual by the name Haru then contacted the investor and claimed to be able to help the investor recover the losses. Haru communicated with the investor via Twitter/X and Telegram. Haru recommended a company called Trimamex. According to the trimamex.com website (still accessible as of the writing of this alert), the company, Trimamex Capital Limited, is a digital currency exchange located in Toronto, Canada, and is licensed as a money services business in the U.S. and Canada. Based on instructions from Haru, the investor transferred BTC (Bitcoin) through Cash App to the Trimamex wallet address, 1Q8MSTnhQTLXnTerP3nxnD3qoLyjdCFddS. The investor "recovered" $300 but was then instructed through the online customer service to pay additional money. The investor did not send more funds and was informed Trimamex would no longer help. Further research revealed that the Saskatchewan securities regulators posted an investor alert on May 22, 2024, stating Trimamex Capital Limited was not registered to trade or sell securities or derivatives in Saskatchewan.
Despite multiple attempts to withdraw funds, the investor has been unable to recover the investment or purported gains. These allegations have not been verified by DFI.
This appears to be what is commonly called "Advanced Fee Fraud", which can take many forms. Learn more about advance fee fraud.
This also appears to be what is commonly called an "Asset Recovery Scam," which is a scam by a third party requiring a fee to purportedly recover lost funds in a prior fraudulent transaction. Learn more about refund and recovery scams.
DFI urges consumers to exercise extreme caution before responding to any solicitation offering investment or financial services. Investment professionals need to be licensed with DFI to offer investments to Washington residents. In addition, most investment products sold need to be registered with DFI.
To check the licensing status and to find out if there are any complaints against an investment professional or investment product, please visit FINRA Brokercheck or contact the Washington State Department of Financial Institutions, Securities Division at (360) 902-8760. If you live outside of Washington State, contact your state securities regulator.
If a consumer believes a person or company has violated state law or acted improperly regarding an investment product or service, they may file a formal complaint with the Securities Division.
Additional Resources
Protecting Yourself from Financial Fraud
Virtual Currency, Cryptocurrency, and Digital Assets Information for Consumers