The remarkable growth in the reputation of the cryptocurrency in progress, it has the natural effect of attracting a large number of scammers in a sector that has considerable liquidity among its characteristics.
Especially those who intend to renew it Ponzi scheme adapting it in order to entice the most naive users to participate in the sensational earnings envisaged. As happened recently in the Philippines with the platform Forsage. A story which, however, now seems to have ended definitively.
The Philippine SEC has shut down Forsage
The Philippines Securities and Exchanges Commission (SEC) has ordered the immediate closure of Forsage and Forsage Philippines, the subject of repeated fraud reports over the last few months.
The company looks like one next generation crowdfunding platform, promising its investors zero risk, thanks to the guarantee represented by the execution of smart contracts. It also claims to provide investors with active and passive income by leveraging a crowdfunding referral system. The minimum investment is 0,05 ETH, with a ceiling limited to 51,2.
Forsage is just another Ponzi scheme
The Philippine SEC has in practice accepted the thesis of those who have indicated nothing more in Forsage than yet another Ponzi scheme. Taking action for its closure, before it can drain and make a huge mass of resources disappear to the detriment of the unfortunates attracted by the proposed returns.
Naturally, the controlling body of financial assets also took action for prevent the escape of those responsible with the loot already placed in cash. In fact, it blocked the funds in the banks where the managers of Forsage opened the accounts which were to be used for the transfer of the money stolen during the previous activity.
The last act of a long dispute
It should also be emphasized that the SEC's decision does not come like a bolt from the blue. In fact, already in the month of July, the supervisory authority had issued a warning addressed not only to this company, but also to all the other actors who had chosen the archipelago for their fraudulent activity.
Despite this, Forsage continued to operate without giving excessive weight to the warning received. In the month of August, as pointed out by the SEC notice, Forsage has in fact collected a daily turnover exceeding 3 million dollars. Data obtained from the estimates of dappstats.com, which naturally prompted the financial regulator to remain alert. Driven to do so also by the defiant attitude of the company, which claimed that its decentralization removed it from the jurisdiction of the Commission. A provocation that was soon accepted.
The SEC notice and the reasons that led to the closure
In the termination order addressed to Forsage, the SEC said that the company operated as a securities broker without having regularized its position. That is, without having registered with the Commission. It is also not qualified to operate as a crowdfunding platform.
To sanction it is the fact that it is not organized according to the requirements of Philippine laws. And, again, Forsage is not registered as a virtual currency service provider with Central Bank of the Philippines (BSP). A long list of violations which certainly could not go unnoticed. And which have therefore resulted in the definitive exclusion from the financial market of the country.