The Washington State Department of Financial Institutions (DFI), Securities Division has received a complaint regarding Foundation-coin.com, a purported cryptocurrency exchange. The website has been taken down.
The investor learned of Foundation-coin.com from an advertisement they saw on Facebook. After inquiring about the opportunity, the investor was referred to a WhatsApp group and told they would receive daily trade signals. Subsequently, the investor sent $50.00 in bitcoin to their trading account on Foundation-coin.com. Shortly after, the website showed a 200% profit on the initial investment. Prior to investing more, the investor decided to research the company’s credentials. The investor indicated that the credentials appeared to be fake but did not provide the Division with additional details. The investor also stated that a Tulsa, Oklahoma address that the company used did not exist.
The investor attempted to withdraw their funds but encountered various errors each time. They attempted to reach out to a customer service email account and the WhatsApp Group admin named Jennifer but did not receive a response. These allegations have not been verified by DFI.
This appears to be a scam resembling Social Media and Investment Fraud, which can take many forms.
DFI urges consumers to exercise extreme caution before responding to any solicitation offering investment or financial services. Investment professionals need to be licensed with DFI to offer investments to Washington residents. In addition, most investment products sold need to be registered with DFI. To check the licensing status and to find out if there are any complaints against an investment professional or investment product, please visit FINRA Brokercheck or contact the Washington State Department of Financial Institutions, Securities Division at (360) 902-8760. If you live outside of Washington State, contact your state securities regulator.
If a consumer believes a person or company has violated state law or acted improperly regarding an investment product or service, they may file a formal complaint with the Securities Division.
Additional Resources
Virtual Currency, Cryptocurrency, and Digital Assets Information for Consumers