France Financial Watchdog AMF Blacklists Unauthorized Domains

Recent updates to the blacklist by the Autorité des Marchés Financiers (AMF), the preeminent financial market regulator in France, have included the addition of domains associated with unauthorized investment offers. AMF continues to safeguard investors from fraudulent activities and unregulated financial services through this action.

Unregulated Forex Brokers and Investment Firms Under Scrutiny

The AMF's most recent action targets several investment firms and unregulated forex brokers. These organizations have been providing unauthorized professional investment services in France, in contravention of financial regulations. Such companies may be engaged in fraudulent activities, according to the AMF, which explains their lack of licensing.

Escalation of Blacklisted Websites in 2023

The AMF has added ten new websites to its blacklist since the beginning of 2023; five of these sites specialize in “wine” investments. Initially comprised of illicit diamond investment proposals, the blacklist has since grown to include more than 400 unauthorized Internet addresses.

Trends in Forex and Crypto-Asset Derivatives

The amount of Forex investments flagged by the AMF decreased marginally from 61 in 2021 to 49 in 2022. Intriguingly, the number of prohibited websites in the category of crypto-asset derivatives has decreased substantially from twenty-four in 2018 to two.

Increased Vigilance against Crypto Activities

Advertising and distribution of cryptocurrency derivatives are both strictly prohibited by the AMF, which actively monitors crypto-related activities. It is underscored by the regulator that any advertising or marketing of these products must adhere to precise regulations.

Prevalence of Scams in the Crypto Industry

AMF's recent advisory underscores the persistent problem of fraudulent activities within the cryptocurrency sector. Numerous prohibited companies, that assert their headquarters in France, actually function from foreign countries utilizing fictitious addresses.

Notable Blacklisted Domains

The list of newly blacklisted providers includes:

• bouchonpourpre.com

• espace-financiereclc.com

• financiereclairac.com

• financierehlc.com

• malinsplacements.fr/or

Warning Against Investment Scams

Constant reports of schemes involving fraudulent platforms posing as regulated savings account providers are received by the AMF. It is advisable that the general public exercise prudence when considering stock recommendations spread through messaging applications and social media platforms. International brokers who are selling high-risk or meaningless securities frequently provide these recommendations.

The Menace of “Pump and Dump” Schemes

“Pump and dump” schemes are a common form of fraudulent activity, particularly in the context of micro securities. False positive information is used by fraudsters to exaggerate stock prices; for instance, they may declare a company's cure or detection of coronavirus a breakthrough.

About Autorité des Marchés Financiers (AMF)

The French financial markets are primarily regulated by the AMF. The AMF was created to ensure the security of investors and the efficient operation of financial markets by monitoring market activities, ensuring adherence to regulatory standards, and enforcing financial regulations. The AMF endeavors to uphold the integrity and transparency of the French financial markets by employing a vigilant approach.

Conclusion

As an indication of its dedication to protecting the financial interests of French investors, the AMF updates its blacklist and issues public warnings regarding unregulated entities with ceaseless diligence. When participating in investment activities, the general public is urged to remain informed and exercise due diligence.