The Philippine Securities and Exchange Commission warns the public of a new cryptocurrency trading platform that is violating existing PH laws.
The SEC issued an official advisory on March 14, 2018 about the firm OnecashTrading. According to the regulator, Onecash is not registered and is therefore not authorized to solicit investments.
Onecash is an online cryptocurrency trading platform where the public can either trade, be a miner, or a “builder” (one who recruits new members) for a Php 1,000 enrollment fee. As a trader, the firm pledges a 25% return on investment every Thursday for 8 weeks. Builder/s (the one who recruit new members) will receive Php 50 for every direct and indirect invites.
Onecash and SEC
The SEC reminds the public that investment schemes, whether using crypto coins or fiat money, must be registered/licensed by the Commission. This is under Section 8 of the Securities Regulation Code (SRC). The so-called “Builders” are violating Section 28 of the SRC as they are recruiting investor members. This activity is also under the code as a form of investment solicitation or sale of securities.
Fine and Jailtime
Violators can face a maximum fine of Php 5,000,000 or imprisonment of 21 years or both.
The Securities and Exchange Commission’s campaign against illegal investment schemes has been in the news lately. In January 2018, the regulator released its official advisory on Initial Coin Offerings. On March 2018, the regulator denied the motion to lift the ban on the KROPS ICO.
- Read more: SEC Denies KROPS Motion to Lift ICO Ban