The Federal Financial Supervisory Authority (BaFin) clarified on January 3, 2023, in accordance with Section 37 Section 4 of the German Banking Act (KWG), that neither Kryptod (Europe) Ltd., nor Kryptod LL.C nor Krypto Holding Ltd., London, United Kingdom, has a license under the KWG to conduct banking or provide financial services. Nevertheless, according to BaFin, these companies advertise fixed spreads and contracts for difference (CFDs) on kryptod.com. However, the companies are not supervised by BaFin. According to BaFin, the claim of a license from the FCA published on the website kryptod.com cannot be confirmed.
Kryprod offers a trading platform for fixed spreads and contracts for difference (CFDs) on its website kryptod.com and advertises with the words: “Kryptod Trade is a financial service provider that offers traders from almost all parts of the world a choice of more than a hundred financial assets as CFDs. Our intuitive trading platform gives you access to the world’s most exciting and volatile currency markets from your desktop, smartphone or tablet. This allows you to manage your personal trading portfolio and enjoy instant trade executions with just one click, all from a single smart dashboard display.
Our aim is to help our clients make the most of online trading, access liquidity and manage risk effectively, while our hands-on expertise, extensive technology and unrivaled network enable us to deliver an unforgettable trading experience.” (Translated by the author).
Kryptod trades without a commercial license from BaFin
According to BaFin, the content of the kryptod.com website as well as information and documents available to BaFin justify the assumption that unauthorized banking transactions or financial services are offered in Germany via the platform.
However, providers of banking transactions or financial services in Germany require a license under the KWG. However, some companies, like the one above, operate without the necessary permission. According to BaFin, this may be an indication of fraud or fraud in the trading system.
BaFin, the Federal Criminal Police Office and the State Criminal Police Offices advise consumers to be extremely careful when investing online and to do thorough research in advance to identify attempted fraud in good time.
Before making an investment decision on the Internet, it is best to inquire directly with BaFin or on the BaFin company database whether the trading platform has the necessary permission (see: BaFin company database).
On its website, kryptod.com claims to be licensed by the FCA:
“KRYPTO HOLDING LIMITED
Kryptod (Europe) Ltd is a licensed financial services provider
(Licence number FRN 11195045) of the Financial Conduct Authority (FCA) which is bound by its rules.”
According to BaFin, the published claim about the FCA’s license cannot be confirmed. We were also unable to confirm a license from the FCA.
Payment of the supposed credit? Bad experiences with Kryptod?
Investors have reported to us that they are having problems with kryptod.com and are unable to withdraw their displayed balance. On the contrary, they should always make additional payments for fees etc.
With the right plan for success
If you have problems with Kryptod or any other trading platform or have become a victim of a fraudulent broker (current cases of online trading fraud plan C), the plan C law firm is at your side with sound and competent advice and enforcement of your claims.
We analyze your situation and clarify it in one go no-obligation free initial assessment about what steps are now necessary and promising so that you get back your invested trading money. In this connection, we also assess the risk of identity misuse for you and take the necessary measures on the cryptocurrency exchanges or trading platforms.
We report possible investment fraud to the Federal Financial Supervisory Authority (BaFin) and other authorities, investigate your compensation claims and the possibility of recovering your funds and, if necessary, initiate criminal proceedings. In order to enforce your claims as effectively as possible, we work closely with the responsible authorities and prosecutors as well as IT specialists. Through our targeted forensic efforts and our experience, particularly with cryptocurrency fraud, we have often been able to track down the perpetrators.
Contact us for a free initial assessment of your online trading problem or possible fraud:
Contact form office plan C
Tanja Nauschütz, a lawyer specializing in banking and capital market law and investment fraud, has been very successful in representing aggrieved investors for 22 years.
Kanzlei plan C – You have the right to honest advice.