Belgian FSMA Witnesses 50% Rise in Online Investment Fraud Reports Received in H1 2024

The Belgian Financial Services and Markets Authority (FSMA) reported an increase of almost 50% in recorded reports of online investment fraud compared to the same period last year since the beginning of the year.

In 2023, the FSMA received 2,170 reports of online investment fraud, a record figure, almost three times more than in 2017 (781 reports). The year 2024 is well on its way to breaking this record. While the FSMA received a total of 925 reports during the first half of 2023, this year, the counter has already reached 1,332 reports of illicit activities for the same period. More than a third of the people who contacted the FSMA were aged 50 to 69.

Nearly half of the reports of illicit activities received by the FSMA concern fraudulent trading platforms and cryptocurrency fraud. "Faced with these phenomena, Belgian investors must remain vigilant," the FSMA warned.

The Belgian regulator also noted the increase in 'recovery room' fraud. In 2024, the number of cases of recovery room fraud, a practice in which scammers pretend to help victims of previous fraud recover lost sums, increased by 60% compared to the same period in 2023. Other types of fraud remained stable during the first half of the year.

The increase in reports also reveals that consumers are increasingly having the reflex to contact the FSMA before following up on an offer, which is a good thing, stated the FSMA. The FSMA steps up its efforts to increase people's vigilance and to encourage them to notify fraud even faster.

Source: BrokersView