The Federal Financial Supervisory Authority (BaFin) has issued a warning regarding the company Interactive Assets, which is reportedly offering financial, investment, and crypto asset services without the necessary authorization. This announcement was made in a news release on January 27.
According to BaFin, Interactive Assets is suspected of providing unauthorized services. The operators of the website interactiveassets.pro are claiming associations with Baden-Württembergische Wertpapierbörse GmbH and Börse Stuttgart GmbH, as well as alleging BaFin supervision. However, BaFin states that these claims are false and identifies this as a case of identity fraud. The warning is issued under the German Banking Act and the Cryptomarkets Supervision Act.
Section 37 of the German Banking Act (KWG) allows BaFin to take action against unauthorized banking activities or financial services. If a company operates without necessary licenses or engages in prohibited transactions, BaFin can order the cessation of operations and appoint a liquidator to handle the settlement. Additionally, BaFin has the authority to inform the public if a company is suspected or found to be engaging in unauthorized activities, according to the Federal Ministry of Justice of Germany.
Blockpit’s analysis ranks Binance as Europe's safest licensed cryptocurrency exchange due to its regulation in multiple European countries, AES-256 encryption, and the Secure Asset Fund for Users (SAFU) program for user protection. Coinbase follows in second place with 98% of assets held offline and licensing by BaFin in Germany. Kraken ranks third by storing 95% of assets in cold wallets and adhering to regulations across the EU and other regions.
BaFin oversees Germany's financial system's stability and integrity. It supervises banks, financial services institutions, payment institutions, e-money institutions, insurers, asset managers, and other related entities. Its responsibilities include solvency supervision, market supervision to ensure fair conditions, and preventing misuse for money laundering or terrorist financing.