Read that over a few times. Are those two words beginning to sound similar?
That’s what the founders of My Big Coin, Inc. were hoping when they created their cryptocurrency investment offering. The Nevada-based company has been accused of defrauding investors hoping to cash-in on the recent investment trend.
We’ve talked a lot about investment scams in the past. Fraudsters are always finding new ways to take advantage of unwitting investors. However, there are several top investment scams that fraudsters favor and which serve as the basis for many new types of investment fraud.
Investors should recognize most of these, but being able to spot signs of these top investment scams may help you in assessing new potential investment risks or signs of fraud.
Investment scams are the last thing people want to worry about following a natural disaster.
Last week, Hurricane Matthew swept along Florida’s east coast on its way to the Carolinas. Major property damage was experienced in northeast Florida, coastal Georgia and North and South Carolina due to flooding.
Natural disasters result in millions of dollars in insurance claims and with that, come the threat of investment scams.
Some people in Florida and other states try to scam others out of their money instead of making an honest income. Two tricks these con artists use are called Ponzi and pyramid schemes. Knowing how these methods of deception work can help you protect your money, but a Florida investment fraud attorney could help if you have already fallen victim to one of these schemes.
Ponzi Scheme
In a Ponzi scheme, someone lures others in by telling them about a supposed investment opportunity with little risk that yields a high reward. This sounds too good to be true because it is as these schemes are funded by paying existing investors with the money from new investors. This scam looks like it works because the earlier investors get paid, but the revenue dries up if there are no new investors or too many investors want to collect their money at the same time.
Have you lost money due to the careless mistakes or intentional fraud of a stockbroker or other financial adviser? Using FINRA arbitration, we may be able to recover your loss. An FINRA claim is made on investment deals with stocks, annuities, mutual funds and bonds. Using a Florida stock market attorney, you can see justice for your wrongdoing.
If you have a claim against a financial advisor or stockbroker, they are required to go to arbitration before FINRA. Rather than a long drawn out court hearing, the Financial Industry Regulatory handles the session. There will be 1-3 arbitrators at the hearing, and a decision will also be made at that time. The wait for a hearing takes about a year. It depends on the size of the claim as to how many arbitrators will be assigned. More than 60% of all cases are settled, and there’s no need for a hearing.
These circumstances are difficult, and there is much paperwork. An investment fraud attorney can help with the FINRA arbitration case and get your money back. What are the most common types of investment fraud, they are:
Securities Fraud Lawyers Blog