NSSC warns of crypto platform luring investors

Regulators in Nova Scotia are warning of an unregistered crypto trading platform that has reportedly duped investors.

The Nova Scotia Securities Commission (NSSC) issued an investor alert about Stearn House Trading, which claims to be based in Toronto, offering trading in a variety of instruments, including crypto-based contracts for difference.

According to the regulator, at least one investor in Nova Scotia lost money to the firm after buying cryptoassets through the platform.

“Requests to return funds and make withdrawals from their account have been ignored by Stearn House,” it said.

And the regulator said there are online reports of other investors who claim to have been scammed by Stearn House.

“While the internet can be a dangerous place to shop for investments, it can also be a vital asset to determine the legitimacy of an operation,” said Stephanie Atkinson, director of enforcement with the NSSC, in a release.

“Reviews, alerts, warnings, complaints and other useful information can be found online and may save you from irreversible financial loss,” she added.

James Langton

James is a senior reporter for Advisor.ca and its sister publication, Investment Executive. He has been reporting on regulation, securities law, industry news and more since 1994.