"One of the UK's leading specialists in financial mis-selling…"
The Times
Fake crypto exchanges are fraudulent websites designed to mimic or clone legitimate trading platforms such as larger exchanges like Coinbase or Binance. Scammers create these sites to trick investors into depositing funds, believing they are buying cryptocurrency. In reality, the fraudsters disappear with the money, often shutting down the website entirely.
With over 250 legitimate crypto exchanges, many operating offshore, it can be difficult to distinguish real platforms from fake ones. UK-based exchanges must be authorised by the Financial Conduct Authority (FCA) to promote their cryptocurrency, making regulatory approval a key factor in identifying trustworthy exchanges.
Fraudsters typically use ‘phishing’ tactics, such as cold calling, emails, texts, or social media posts/ads, to lure victims with promises of high or guaranteed crypto investment returns.
These crypto scams exploit the hype around cryptocurrency, using fake websites filled with fabricated reviews, awards, and claims of regulation to appear legitimate.
Fraudsters will often encourage victims to start with a relatively small investment, sometimes only a few hundred pounds. The fake platform then shows apparent profits and successful account growth, encouraging the victim to invest increasingly larger amounts. As trust builds, victims are persuaded to invest even more, only to discover that withdrawals are blocked, excessive fees are demanded, or the website disappears entirely along with their funds.
In many cases, the scam does not end when the victim tries to withdraw funds. Fraudsters frequently demand additional withdrawal fees, tax payments or verification charges, despite having no intention of releasing any money.
The UK Financial Conduct Authority (FCA) keeps a warning list of unauthorised firms, including hundreds of fake crypto exchanges and cloned websites impersonating legitimate companies. You can search the list here: FCA Warning List.
Although the FCA warning list is a useful tool, it is not exhaustive. Fraudsters regularly close scam websites and launch new ones, so the absence of a name from the warning list does not automatically mean it is legitimate.
If you are contacted by one of the firms listed on the warning list, do not engage with them; it’s a scam. If you’ve been approached by a suspicious crypto platform or already lost money, speak to our expert solicitors today to explore your recovery options.
Answer a few quick questions and request a free callback. Our team will contact you for a no-obligation chat and explain the next steps.
Fake crypto exchanges often have warning signs that can help you spot a scam before it’s too late. Here are some key red flags:
Think you’ve spotted a scam? Get a free scam consultation today.
Be cautious about relying on a single trust signal. Sophisticated fraudsters often create fake addresses, telephone numbers and regulatory information to make a fraudulent exchange appear legitimate.
Before investing in crypto, always research exchanges independently—never trust a cold call, unsolicited email, or social media ad.
Our solicitors have extensive experience helping individuals who have suffered significant financial losses.
We have represented clients across a wide range of fraud, investment and financial recovery matters.
You will never pay any upfront legal fees. Our success is linked directly to yours.
As a regulated law firm, we provide professional legal advice and representation throughout your claim.
We understand modern scams that involve multiple stages of manipulation, including fake investments, cryptocurrency transactions, and sophisticated online tactics.
We provide honest assessments of potential claims and explain the options available before you decide whether to proceed.
Scammers create fake exchanges to steal deposits.
Fraudsters build trust before tricking victims into fake crypto investments.
Fake endorsements lure victims into fraudulent crypto schemes.
Scammers exploit WhatsApp/Telegram groups to push fake investments.
Prices are inflated with false hype before scammers cash out.
Fake websites steal login details and funds.
Fraudulent exchanges disappear with investors’ money.
No oversight, making scams easy to run.
Fake cryptocurrency exchanges are designed to appear legitimate while preventing victims from accessing their funds. We investigate the circumstances of the scam and assess whether there may be a route to recovery.
“In our experience, Banks most commonly refuse or reduce scam refunds for two reasons: they believe the customer ignored warning signs, or they argue the transaction was a genuine investment that later failed rather than a scam from the outset. This is why presenting the right evidence and addressing these issues from the beginning is often critical to a successful claim.”
If you’ve lost money to a fake cryptocurrency exchange, you may be concerned about the cost of pursuing a claim. Our No Win, No Fee agreement allows you to explore your legal options without upfront legal costs.
What This Means for You
Fake crypto exchanges are often used within wider scams, including investment and romance fraud. If your case involves any of the following, we can help:
Verify a crypto exchange by checking the FCA register at fca.org.uk. Confirm that the exchange is authorised and regulated in the UK. Verify whether foreign-regulated firms have FCA approval to promote crypto investments to UK customers. Check the FCA warning list and avoid firms identified as unauthorised. Watch for cloned websites, fake customer support, pressure to invest quickly, guaranteed returns, and requests to transfer funds to personal wallets. Complete these checks before depositing money or transferring crypto.
Invest safely by researching multiple exchanges independently before sending money. Never invest following a cold call, email, text message or social media promotion. Consider seeking advice from a UK-regulated Independent Financial Adviser (IFA). As a general guide, high-risk investments such as cryptocurrencies should make up only a small proportion of your overall investments.
Withdraw money from a legitimate crypto exchange by selling your cryptocurrency and transferring the proceeds to your bank account. Legitimate exchanges disclose brokerage, trading, and withdrawal fees before you invest. Treat unexpected requests for additional withdrawal fees as a fraud warning. Scammers often demand extra payments to release funds that do not exist. Stop sending money immediately and investigate the platform if withdrawal conditions change without a clear explanation.
Romance scammers use fake crypto exchanges by building trust through dating apps or social media before promoting fraudulent investment opportunities. They often claim to have earned large crypto profits and encourage victims to invest. Scammers direct victims to fake exchanges that display false account balances and fabricated returns. They encourage small initial deposits, then pressure victims to invest larger amounts before blocking contact and stealing the funds. Never invest based solely on advice from an online contact. Verify every crypto exchange independently through official regulatory and company sources before transferring money.
Report a scam crypto exchange immediately to improve the chances of recovering your money. Contact your bank as soon as possible and request that the transaction be investigated. If the payment was made through a UK bank, you may qualify for reimbursement under the Authorised Push Payment (APP) refund rules. Report the fraud to Action Fraud at actionfraud.police.uk or through its helpline. If you have lost money, consider seeking specialist legal advice. A solicitor can help assess recovery options, challenge a bank’s decision where appropriate and preserve important evidence.
Tim qualified as a solicitor in 1997 and has more than 25 years of experience advising clients on professional negligence, financial mis-selling and complex civil litigation matters. He oversees the firm’s professional negligence cases and advises on case strategy.
Tim has reviewed this page to help ensure the legal information is accurate, up to date and relevant to individuals considering a potential claim.
We offer a free, confidential consultation to help you understand your legal options. Our specialist solicitors handle professional negligence, pension and investment mis-selling, and fraud recovery claims across England and Wales. From day one, we’ll give you clear, practical advice tailored to your situation.
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You do not need legal representation to make a financial services claim. You can complain yourself at no cost and under FCA rules, the financial services provider must provide a response. If you feel this is unsatisfactory, you can complain to the statutory redress bodies, the FOS and FSCS who can award you compensation. This is a free service.
The information appearing within this website does not constitute legal advice and is provided for general information purposes only. No warranty, whether express or implied, is given in relation to such material, and we do not accept any liability for reliance on it.
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