The (FSMA) in Belgium has published a warning on its website this Wednesday, flagging Kuvera Global LLC (Kuvera), which according to the regulator has the characteristics of a pyramid scheme.
In particular, the Belgian regulator highlights that the company irregularly offers investment services in Belgium, via the website www.kuveraglobal.com, with the entity mainly targeting young people.
Namely, the entity offers consumers tools and training which is meant to help them when trading foreign exchange (forex) products, virtual currencies and equity. According to the warning, the company also claims to offer investment advice to traders through these tools.
“Kuvera is not, however, authorized to offer financial services and products in Belgium. Moreover, the system proposed by Kuvera exhibits features characteristic of a pyramid scheme,” the watchdog said in its statement today.
Furthermore, the Belgian regulator points out that it is not the first authority to warning against Kuvera, with the the Autorité des marchés financiers and Spain’s (CNMV) having both warned against the entity.
“For all these reasons, the FSMA strongly advises against responding to any offers made by Kuvera,” the FSMA concluded.
Claims against Kuvera
AMF’s initial warning against Kuvera stated that the firm operates under two brands, Kuvera LLC and Kuvera France; both are wholly owned subsidiaries of Investview.
As , the French regulator said that they have been providing professional investment services to domestic clients without proper authorisation, which is a criminal offence.
Investview was previously fined $150,000 by the US Commodity Futures Trading Commission (CFTC) back in 2018. At the time, the US securities regulator said the company was illegally offering forex and binary options to retail investors in the United States.
However, when Finance Magnates spoke to Investview, the company said that they were unaware of the charges and denied ever supplying unregulated services or, as the AMF stated, working with people under the age of eighteen.