SEC: PlexCorps is a fraud

Now that Bitcoin is 12,000 dollars per one coin, one should make every investment count. Another reminder of this lately appeared on the United States Securities and Exchange Commission website. Turns out that a cryptocurrency project called PlexCorps was offering its investors returns in 13 times bigger sums. Those who trusted simply lost their money. However, they can at least know vengeance is coming, as the SEC is already investigating this fraud. And by the way, if Jamie Dimon wanted to separate real cryptocurrency from fraud, the comparison of Bitcoin and PlexCorps would be quite demonstrative.

A careful cryptocurrency investor should always look for the flaws in the ICO and every other cryptocurrency investment opportunity, in fact, he or she should be even more vigilant than any investor in traditional assets. Traditional assets market has full-fledged, established rules, regulated by central banks and has organizations with a reputations they were building decade by decade. However, the cryptocurrency market is very young, with no established centralized rules, it is not regulated by central banks. This market might help escape government surveillance, but  leaves clients without any consumer protection. A company can appear, take your money and vanish, reminding of the pyramid schemes of early days of free market in Russia after the Soviet Union collapsed.