The primary monetary regulator of the U.K, the financial Conduct Authority (FCA), reports that crypto investors within the country lost over $34 million because of cryptocurrency and forex scams from 2018–2019 the financial Times reports on May 20.

According to the info, that the FCA gathered from the U.K. national fraud and cybercrime news centre, Action Fraud, individual loss because of scams reduced from $76,000 to $18,500 whereas total losses fell by $14 million.

However, the amount of reports over tripled to reach 1,834, with 81 % of such reports being crypto scam claims.

Per the report, the FCA is considering a ban on “high-risk derivative products connected to crypto assets.” For now, FCA executive director Mark Steward cautions:

“Scammers are often very convincing thus perpetually do your own analysis into any firm you're considering investing with, to make sure that they're the real deal.”

The FCA reportedly declared that scammers use social media to seek out potential investors. The regulator additionally noted that scams can usually use pictures of celebrities with faux endorsements alongside imagination of luxury product like cars and watches.

Last year, initial coin offering (ICOs) advisory firm Statis group released a study, that found that over 80 % of ICOs in 2017 were scams. The associated losses for that year destroyed $1.34 billion.

As recently reported by Top Market Group, new proof has surfaced suggesting that reputed bitcoin (BTC) exchange Goxtrade could be a scam. Goxtrade reportedly used the real names and photos of unaffiliated parties like blockchain figure Amber Baldet to fill their web site employees page and is absent from the U.K.’s registry of firms and businesses.

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