The U.S. Commodity Futures Trading Commission (CFTC) has filed charges against the Laino Group for soliciting local investors to trade in futures for commodities including Bitcoin, Ethereum, Litecoin and precious metals without the necessary registration.
According to the CFTC, the Laino Group, which operated under the PaxForex brand, used a network of affiliated individuals in the United States to attract retail investors to trade derivatives with leverage. According to the CFTC, this is a violation of the Futures Exchange Trading Act.
The firm has been operating since 2018, but it is difficult for the CFTC to indicate the scope of its operations. It has provided services as an intermediary in futures exchange transactions, encouraging clients to place and receive orders.
The CFTC intends to recover misappropriated funds from the Laino Group and impose a fine, as well as a ban on further illegal activities. The company is registered in Saint Vincent and the Grenadines.
Earlier it became known that CFTC has initiated an investigation against BitMEX cryptoderivatives exchange.