Scammers have shifted to public review websites like
TrustPilot and Google Business to impersonate representatives of the Cyprus
Securities and Exchange Commission (CySEC), misleading investors into paying
bogus fees, the regulator warned.

The increase in these fraudulent activities has now prompted
CySEC to issue a warning, urging the public to be vigilant and cautious when
approached by supposed CySEC officials.

Fake Representatives Demand Recovery Fees

According to CySEC, recent reports reveal a surge in
incidents involving individuals falsely claiming to be CySEC officers. These
scammers contact investors, often via email or fake online accounts, and demand
fees, promising to assist in recovering investment losses from CySEC-regulated
companies.

The exploits the trust investors place in CySEC as a
regulatory body, making it a particularly dangerous scam. CySEC warns that it
does not contact individuals directly or request personal or financial
information.

“In these posts, users have reported incidents of
individuals posing as CySEC officers or representatives have contacted
investors, demanding fees in exchange for facilitating the recovery of
investment losses in companies regulated by CySEC,” the watchdog mentioned.

The agency maintains that it has no mandate to collect fees
from investors or appoint third parties for such purposes. To combat the
growing trend of misinformation and fraudulent activities, CySEC utilizes
advanced social media listening tools.

Social Media Monitoring Tools

These tools monitor posts across multiple languages in
real-time, alerting the regulator to false or misleading content posted by
investment firms or so-called “finfluencers.” This capability enables
CySEC to take swift action against harmful marketing activities, protecting
potential investors from scams.

Expect ongoing updates as this story evolves.