Unauthorized Bitcoin Broker ‘Crypto Capitals’ Gets Called Out by FINMA Swiss Regulator – Bitcoin Exchange Guide


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It can be said that the Crypto Wild West is certainly over. While some people may argue that the market remains mostly unregulated, most people would definitely agree that there is no space to unregistered companies that work outside of the boundaries of the law right now.

The Swiss financial regulator, FINMA (Swiss Financial Market Supervisory Authority) is now looking for unregistered crypto brokers, something that the organization is doing for a while now. The main reason for this is to get the fraudulent ones and take them out of the game.

As more and more crypto traders are appearing in the country, the authorities of Switzerland are starting to intensify their efforts in order to curb the brokers which are operating outside of the realms of the law.

Today, a company called Crypto Capitals was the latest victim of the FINMA’s crusade against the scammers. The company was accused of conducting unauthorized activities in the country. The FINMA affirms that the company currently lacks a license to provide the services that it offers.

To make matters even worse, the company claims on its site that its services are valid and fully regulated, which can an indication of foul play from the company, which never even tried to regulate its business in Switzerland.

Crypto Capitals offers contracts for different (CFDs), crypto trading for several assets (LTC, ETH, BTC, XRP, DASH, etc), financial planning, tax planning and audit reports on its site. However, it is not legally able to do any of these services, the reports show.

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FINMA Can Be Crypto-Friendly, But Only To Regulated Companies

Despite its efforts to hunt down these companies, it would be a lie to say that the FINMA is not a crypto-friendly institution. In fact, they have established a set of rules for the market and their main problems are only with the companies which are not eager to comply with the legislation and them alone.

The FINMA is currently after twelve other companies which they believe are unregulated firms that can offer some kind of problems for the users. While not all of these companies may be necessarily scams, the ones who lack the regulation are the ones with the highest chances of offering some kind of damage for the investors and clients.

Last year, the FINMA started the first crypto license in the country. The company that received it was a crypto fund in Zug, which was focused on institutional clients. A company called Dukascopy was also the first bank to ever have an Initial Coin Offering (ICO) approved in the country, which happened last December.

It looks like the regulator will have a lot of work ahead of itself. However, Switzerland is known for having a very safe and stable market and the FINMA will not allow any company to offer illegal crypto services there. It may be too early to know if companies will continue to break the law or move elsewhere, but the agency is doing a good job so far.

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