Germany’s BaFin Launches Investigation Against CoinsTrades - BrokersView

Germany’s BaFin Launches Investigation Against CoinsTrades

Oct 21, 2021


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BaFin, Germany's Federal Financial Supervisory Authority, yesterday announced that it has launched an investigation into CoinsTrades, as the platform is conducting banking business or providing financial services without authorization in this country.

According to the regulator, providers of banking or financial services in Germany require a permit under the KWG. However, some companies act without the required permission. 

CoinsTrades website,, claims that it has been in the Fintech and brokerage business for over 8 years. By 2016, it has onboarded more than 3,500 active traders from all corners of the globe.

BaFin recommends that anyone seeking to invest money online should exercise the utmost caution and do the necessary research beforehand in order to avoid becoming the victim of fraud.

Recently, BaFin announced the caution with buy recommendations for shares in Rainforest Resources Inc. (ISIN US75087K1034), which are now being made on a large scale in the form of phone calls.