SEC Warns Filipinos Against COINMATE PLUS Crypto Investment Scam

The Philippines' Securities and Exchange Commission (SEC) has issued a warning against investing in Coinmate Plus, a cryptocurrency trading platform that World Eagle Charitable Finance Inc. is pushing. Investors are in danger since Coinmate Plus is not registered with the SEC and seems to be a Ponzi scam.

Starting at Php1,200, COINMATE PLUS promises daily profits of between 3% and 5%. The ridiculous profit margins on these offerings, however, have caused some worry. According to SEC clarification, such investment contracts need to be registered under the Securities Regulation Code (SRC) and the parties involved need to have the relevant licenses. Because COINMATE PLUS does not comply with these legal obligations, it violates the SRC.

The SEC issues a warning because, as is characteristic of a Ponzi scheme, COINMATE PLUS's structure probably favors early investors who use money from new participants. If fresh contributions drop, this might mean significant losses for investors on the road.

Participation by the public in such unregistered enterprises may have severe legal repercussions, including penalties of up to Php5 million or 21-year jail terms. Also, the SEC has issued a warning against serving as brokers or salespeople for these illicit deals.

The SEC urges anybody knowing COINMATE PLUS to get in touch with their Enforcement and Investor Protection Department to safeguard Filipinos' financial interests. Preventing investment fraud in the Philippines depends heavily on this alertness.