Germany’s financial regulator, BaFin, has issued a public warning against Axionto, a company allegedly promoting unlicensed investment services through WhatsApp. The firm is reportedly targeting German investors with financial recommendations shared in private chats and group messages.

Suspicious Claims and Missing Company Details

The investment tips circulating in these WhatsApp groups are allegedly attributed to “Professor Lorenzo Riccardi.” However, BaFin said there is no information confirming the identity or existence of such a person.

Further raising concerns, Axionto’s website, axionto.com, provides no legal notice, company structure, or registered business address. BaFin noted that this lack of transparency is a red flag for any firm offering financial services.

Under German law, companies must obtain proper authorization from BaFin to provide financial, investment, or crypto asset services. Axionto does not appear in the regulator’s database of authorized firms, suggesting the company is operating illegally.

WhatsApp and Social Platforms Draw Scrutiny

The case adds to a growing list of firms using encrypted messaging apps to bypass regulatory oversight and reach retail investors. BaFin continues to monitor such activity and encourages the public to report suspicious financial solicitations.

BaFin advised consumers to avoid dealing with unlicensed firms and to conduct due diligence before acting on unsolicited investment advice, especially when promoted through informal or anonymous channels like WhatsApp.

Expect ongoing updates as this story evolves.

Source: Finance Magnates