Dominican Republic Warns Citizens About Spread of Unregulated Investment Schemes and Ponzi Scams

The Superintendence of the Securities Market (SIMV) has issued a warning to the public about the proliferation on the internet of alleged investment mechanisms that promise unusually high returns, which are actually unregulated markets or Ponzi schemes.

Warning Signs to Watch Out For

• Alleged investment opportunities promising unusually high returns
• Unregistered entities operating in the Foreign Exchange Currency Market (Forex), virtual assets, and cryptocurrencies
• Pyramid schemes
• Unsolicited phone calls or approaches from individuals or entities not registered with the Securities Market Registry
• Advertising stimuli on social media or the internet

Risks Associated with Unregulated Investment Schemes

• Losing investments
• Lack of legal protection
• Possibility of financial losses for investors

SIMV’s Advice to Citizens

• Treat any investment opportunities promising unusually high returns with caution
• Only invest through duly registered entities
• Exercise caution when considering any investment opportunities
• Carefully research the entity offering the investment before making a decision

Prevention is Key

• Regulating the securities market to protect investors
• Enforcing laws and regulations related to investments
• Encouraging citizens to report any suspicious investment activities or entities to SIMV’s office

The Superintendence of the Securities Market urges citizens to be aware of these warning signs and take necessary precautions to avoid falling victim to unregulated investment schemes and Ponzi scams. Remember, prevention is key to protecting your investments and financial well-being.