The Washington State Department of Financial Institutions (DFI), Securities Division received a complaint from a Washington investor regarding purported cryptocurrency trading website, www.coinpalm.com (“Coinpalm”). The investor communicated with a person named Chris regarding his Coinpalm trading. The investor invested $5,000 with Coinpalm and appeared to be making a profit. When he tried to withdraw his purported profits, Coinpalm required him to pay $50,000 in upfront taxes, which he did not do. The investor has lost his entire investment.
DFI has not verified these allegations.
This appears to be an “Advance Fee Scheme”. It may also be what is commonly called a “Pig Butchering Scheme”.
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 complaint with the Securities Division.
Additional Resources
Virtual Currency, Cryptocurrency, and Digital Assets Information for Consumers