The
Australian Securities and Investments Commission (ASIC) announced today
(Thursday) it is conducting a global search for a service provider to identify
and remove investment scam and phishing websites, as part of its ongoing
efforts to combat online financial fraud.
ASIC
Launches Global Search for Investment Scam Website Takedown Service
The
regulator has issued a request for tender (RFT) for a contract that could last
up to five years, with the current agreement set to expire in June 2025. The
new service will identify, take down, and provide intelligence on fraudulent
websites targeting Australian investors.
Since July
2023, ASIC
has coordinated the removal of over 7,300 phishing and investment scam websites.
This initiative is part of the Australian Government’s broader “Fighting
Scams” campaign and supports the work of the National Anti-Scam Centre
(NASC).
“Combating
and disrupting investment scams is a key priority for ASIC,” ASIC
commented in a press release. “The service will also provide website takedown
intelligence that can be used to warn the public about new investment scam
trends and scams impersonating organisations regulated by ASIC.”
The scope
of the service will include targeting websites falsely claiming ASIC
authorization, fake investment trading platforms, crypto-asset related scams,
and phishing attempts impersonating ASIC-regulated organizations. The provider
will also be expected to furnish intelligence on emerging scam trends to help
warn the public.
This move
comes as financial regulators worldwide grapple with the growing threat of
online investment fraud. In 2023, Australians
reported losses of $1.3 billion to investment scams, highlighting the
urgent need for robust protective measures.
How much
can ASIC pay for the service? The offer does not specify exact amounts, but
there are mentions of additional requirements if the offer exceeds A$4 million.
For comparison, at the end of last year, Cyprus’s CySEC was seeking experts for
regulatory oversight of local investment firms, offering €240,000.
New Powers
and Comments on “Margin Discounts”
ASIC also
announced today that it has gained expanded regulatory powers as part of
reforms to the country’s financial market infrastructure (FMI) laws, aimed at
strengthening stability and efficiency in Australia’s financial system.
Although
the new FMI laws primarily target broader market structures, they could have an
indirect impact on FX/CFD brokers operating in Australia. The enhanced
regulatory authority given to ASIC and the RBA might result in closer scrutiny
of the financial services sector, including over-the-counter derivatives
markets where FX and CFD products are traded.
In addition, ASIC
raised concerns that some CFD derivative issuers might be offering “margin
discounts” to retail clients holding opposing long and short positions, which
could violate ASIC regulations.
The
Australian Securities and Investments Commission (ASIC) announced today
(Thursday) it is conducting a global search for a service provider to identify
and remove investment scam and phishing websites, as part of its ongoing
efforts to combat online financial fraud.
ASIC
Launches Global Search for Investment Scam Website Takedown Service
The
regulator has issued a request for tender (RFT) for a contract that could last
up to five years, with the current agreement set to expire in June 2025. The
new service will identify, take down, and provide intelligence on fraudulent
websites targeting Australian investors.
Since July
2023, ASIC
has coordinated the removal of over 7,300 phishing and investment scam websites.
This initiative is part of the Australian Government’s broader “Fighting
Scams” campaign and supports the work of the National Anti-Scam Centre
(NASC).
“Combating
and disrupting investment scams is a key priority for ASIC,” ASIC
commented in a press release. “The service will also provide website takedown
intelligence that can be used to warn the public about new investment scam
trends and scams impersonating organisations regulated by ASIC.”
The scope
of the service will include targeting websites falsely claiming ASIC
authorization, fake investment trading platforms, crypto-asset related scams,
and phishing attempts impersonating ASIC-regulated organizations. The provider
will also be expected to furnish intelligence on emerging scam trends to help
warn the public.
This move
comes as financial regulators worldwide grapple with the growing threat of
online investment fraud. In 2023, Australians
reported losses of $1.3 billion to investment scams, highlighting the
urgent need for robust protective measures.
How much
can ASIC pay for the service? The offer does not specify exact amounts, but
there are mentions of additional requirements if the offer exceeds A$4 million.
For comparison, at the end of last year, Cyprus’s CySEC was seeking experts for
regulatory oversight of local investment firms, offering €240,000.
New Powers
and Comments on “Margin Discounts”
ASIC also
announced today that it has gained expanded regulatory powers as part of
reforms to the country’s financial market infrastructure (FMI) laws, aimed at
strengthening stability and efficiency in Australia’s financial system.
Although
the new FMI laws primarily target broader market structures, they could have an
indirect impact on FX/CFD brokers operating in Australia. The enhanced
regulatory authority given to ASIC and the RBA might result in closer scrutiny
of the financial services sector, including over-the-counter derivatives
markets where FX and CFD products are traded.
In addition, ASIC
raised concerns that some CFD derivative issuers might be offering “margin
discounts” to retail clients holding opposing long and short positions, which
could violate ASIC regulations.
This post is originally published on FINANCEMAGNATES.
