Italy's financial regulator, Consob, recently took action against unapproved financial services, restricting six websites that operate in Italy without approval.。The move marks another step in Consob's ongoing efforts to protect investors and combat financial fraud.。

Consob attacked several websites, including Ether Limited (ethertrader.cc), Aegion Group Ltd (safecap.io), Investment Analysts (investment-analysts.co), Fidelitycfd (fidelitycfd.com), Mex-Fx (mex-fx.com) and Ultraford (ultraford.cc)。These platforms have been found to offer financial services without proper authorization, posing significant risks to investors.。

Sustained fight against financial fraud

Consob's actions stem from regulations that allow regulators to block access to websites illegally offering financial services.。These measures are essential to protect investors from fraud and ensure the integrity of financial markets。

Since July 2019, Consob has restricted 1,035 websites involved in fraudulent financial activities.。This highlights the continuing challenges posed by financial fraud and the importance of regulatory oversight in maintaining market integrity.。

The regulator stressed the importance of due diligence in investment decisions, urging investors to verify the authorization of financial service providers and the publication of financial product prospectuses.。

Fraud has surged in the financial sector, with regulators around the world warning against unlicensed companies and imposters.。Notable alerts include a warning from the Canadian Securities Authority that phishing was an attempt to impersonate a regulatory officer, Finance Magnates reported.。

Increase in financial fraud

Similarly, the Belgian Financial Services and Markets Authority has strengthened its warning against fraud on online trading platforms targeting Belgian citizens.。Regulators around the world, such as the Financial Conduct Authority (FCA), are wary of financial fraud.。The FCA's recent report highlights its increased efforts to combat financial fraud, with more than 2,000 fraud warnings issued in 2023 alone.。

In addition to this, Consob last year blocked five websites related to unlicensed companies that provide financial services.。These include clones of well-known brokers such as ActivTrades and E * TRADE。The regulator highlighted the deception used by the cloning sites, which use names similar to those of the licensing entities but lack legal authorisation.。

In the financial industry, clone brokers pose a major threat to investors。These fraudulent entities use the credentials of legitimate, regulated brokers to deceive unsuspecting clients.。By imitating the real broker's brand and sometimes even the real broker's website, cloning websites creates the illusion of credibility。