Texas regulators have considered cryptocurrency investment schemes a risk to Main Street investors for some time and have continued to publicly warn of potential cryptocurrency scams during the COVID-19 pandemic.

The final step by the Texas Securities Board (TSSB) is a procedure, not a word: an emergency termination and waiver of requests against the entity that misuses Binance’s name.

According to Monday’s announcement, the order is targeting a company that claims to operate outside the United Kingdom, which was previously subject to an advisory warning from securities regulators in the Philippines. They have already warned that DeltaCrypt is “illegally offering” ridiculous “profit-making securities and has warned the public not to turn away.

Since then, the company has apparently removed its previous name “Delta Crypt” and launched an online investment scheme – without registering to sell securities in Texas – using various phishing brands such as Binance Assets, BinanceAssets Ltd, and Bit Kind Ltd.

“The idea is relatively simple – invest less, earn big and don’t worry about the risks. In fact, the ‘Gold Plan’ provides a guaranteed return of 30%, and the ‘Diamond Plan’ – a guaranteed return of 40%.”
TSSB found the proposals to be “false and misleading” and that Delta Crypt had withdrawn important information from its leaders, including previous intervention by Philippine authorities. It also failed to alert investors to the risks associated with illegally wanted cryptocurrency investments and sales agents. The last point means that the company has pledged to pay a commission without considering registration or licensing requirements.

TSSB is relatively active in combating crypto fraud perpetrators and recently issued warrants against two alleged scams in September 2020, resulting in a $ 10,000 fine, two to ten years in prison, or both.

Source: CoinTelegraph