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Renowned Company “Monex” Blacklisted for CryptoCurrency Scams

This article explains all about the frauds conducted by Monex, which was a company dealing in cryptocurrency. What are crypto scams? Crypto scams are ways to gain private information, including your security codes and passwords, to scam your money or currency. 

The most common types are;

  • rug pull’ crypto scams
  • phishing crypto scams
  • pump and dump
  • airdrop 
  • pig butchering 

The crypto scammers work through sending emails mostly or appearing on certain websites propelling you to invest your cryptocurrency, or turn your money into bitcoin, by simply applying at their fake websites.

Cryptocurrency Scams

In 2021, we witnessed a 50% year-over-year increase in crypto-related scams to over 500,000. And looking ahead we anticipate a more than 75% increase in 2021!

FTC Gov. Report 2021

If you are someone who’s interested in Cryptocurrency, then you’re definitely at the right place. We can give you the best practices in identifying red flags as well as help you in recovering your stolen money from scammers!

Table of Contents

There Has Been A Startling Rise in Crypto Scams


As the world is progressing towards online money exchange, specifically since COVID’19, everything seems to have been shifted online from buying small and large things to exchanging money. And scammers have found a way to take your money away by all the wrong means; there are a lot of fake dating apps, money exchanging websites, social media tips, and tricks to earn or double your money quickly and easily.

Monex As an Organisation

In 2017, Monex was charged with defrauding thousands of people who were retail investors out of millions of dollars with hundreds and thousands of illegal commodity transactions. Thousands of people trusted Monex for their investments and ended up empty and scammed, left with nothing behind. 

It was part of the Monex Group of Tokyo and a publicly listed company on the Tokyo Stock Exchange. It was the third-largest broker in Japan; also within the group, they had TradeStation securities in the US, the sixth largest broker, and Monex Boom in Hongkong. They provided access to 12 different countries and 70,000 listed securities across more than 14 exchanges and all from one trading platform. The Australian market is outstanding, but there have been more opportunities that people should be looking into. Individual investors that wanted to trade offshore had been facing very steep brokerage rates; it was also tough if one wanted to trade several different markets. One has to open accounts with several various brokers, so they say to have been solving both of these problems in one go by simplifying the process. and because of the size, the group of Monex was able to bring much lower brokerage costs to the consumer.


They rolled out the features on the platform in various stages, and they promised to be available as a multi-currency platform. If one wanted to trade markets, trade google in the US, and trade stock in China and another stock in Thailand, it probably would have involved opening three different accounts for three various brokers being very time-consuming and expensive. Now they say to solve the problem by bringing all these markets into one trading platform with low cost apart from being costly and difficult to open an account to trade offshore markets. 

It allows you to trade a relatively large sum of money to trade those markets that do not actually have a minimum account size so that anybody can open up an account without any particular minimum account size. People could deal with the Australian market with them, so they still offer access to all the big names they were familiar with, including HP, Qantas, Westpac, etc. in addition to that, they provided access to the US market and Japan, China including exchanges in Shanghai, Shenzhen, Hongkong, Taiwan, they also provided access to Korea, Singapore, Indonesia, Malaysia, and Thailand by trading US markets, one could have exposure to the European Economies, as well as investors, obviously want to increase their pool of assets. Unfortunately, the Australian market has shrunk over the last ten years, and now if someone wants to keep investing their money in a shrinking market, it will be challenging to make it grow. They offer to trade offshore in 70% of the global market, giving a diversified and open call to the investors. 

If you invest only in Australia, you are investing in less than 3% of the global share market and an equity market that has failed to match the growth of other markets worldwide. Whether it is because of expensive fees or limited access to overseas markets, Australians have been held back from investing internationally for too long. Hence, they created Monex, which had access to over 50,000 shares across 12 global markets covering around 70% of the world market value, all from one account. Starting at an unbelievable 99 US dollars, trade for American shares invest in top blue-chip companies like apple and google blossoming startups in China or other rapidly developing economies across Asia. They were a part of a global group of trading companies already trusted by nearly 2 million traders, and their global network kept costs down, unlocking a world of investment at a fair price for the customers. They claimed no Australian broker was offering so much for so little.


The Multiple Scams & Frauds Conducted by Monex

Monex had been accused of multiple scams and frauds conducted in various ways and schemes to take the money away from people. Some of their cons are as follows:

Illegal off-exchange commodity transactions

The commodity futures trading commission filed a complaint about defrauding thousands of customers out of more than two hundred ninety million dollars from illegal off-exchange commodity transactions; in other words, the illicit transactions involving gold, silver, platinum, and palladium from approximately 12 thousand accounts between July 16th of 2011 and March 2017.

Stole from elderly

They left many elderly ones with no money or life savings, who lost more than $100,000 each. They planned such a scheme in which the customer is bound to lose all the money, and the company wins it all; they claimed that it was not a fraud because all the rules and the trading program were already disclosed to the potential audience. The father and son Louis and Michael Carabini, owning this company, made most of the revenue by the price their buyer bought and sold all the gold, silver, and platinum. The difference in the price set by the company was 3%; they charged an inflated price, interest on loans, and administrative fees, as per the report. The Monex group ran many television campaigns and advertisements to portray that Atlas Program was safe and secure for their investors to keep their wealth. All the promises of a considerable increase in the investments were fraud and scam, and the buyers lost a lot as per the number of accounts and sizes of the overall transactions. Moreover, this scheme of Atlas program was not even registered with the commission.

Stolen Wealth

They scammed money worth $1.5 million in a Ponzi scam

Another report against the Monex Group was by brothers Jim and Ken Kargar stating that they scammed money worth $1.5 million in a Ponzi scam. They were not the only ones scammed, but other people in San Miguel have been scammed with a total loss of $40 million. Mexico daily news reported in an investigation that money was stolen from 150 different accounts registered at the Monex. A worker named Zavala had been accused of taking the money as Zavala provided the customers with personal bank services and immediately stopped responding to them right after the money fraud took place. 

The Kargars owned a private business and were told their money was in dollars and not pesos. They, later on, found out that the money was in Mexican pesos, and by that time, the money was worthless and had lost its value due to the devaluation of the currency. The Ponzi scheme was spread over many months and gathered millions from people causing them to lose their entire life savings.

Monex Frauds People in The Following Ways

men holding bitcoin
  • Unauthorized transfers
  • Unauthorized investments
  • Unauthorized liquidation
  • Diversion
  • Unauthorized changes
  • Unauthorized conversion
  • Unauthorized conversion
  • Embezzling
  • Forgery

There is a bunch of fraud reports signed against Monex, including millions disappearing from the retirement accounts, Mexican banks hacked and hidden from customers, millions robbed from the Americans living in San Miguel, and life savings lost in Mexican Bank Fraud Scheme. 

A common way of scamming people was to build attractive money-making schemes which seemed to be very profitable and preferable for the people, and they were propelled to invest their money in such plans and programs which would benefit them in the long run. But in return, these people lost millions of their money and were left with no cash or investments. 

In an interview, some people who were a part of this fraud claimed that they lost every penny of their savings and have been left with zero bank balance, while many people had no backup plans for themselves or their families. They have reported against the Monex Group, but being such a vast and well-known company, they cannot stand against them to get the lost amount back. It still looks pretty shocking that many people still do not know about the frauds conducted by this company and continue to invest their money. 

bitcoins and 100 dollar
One must do proper research and learn about a company’s record, competence, performance, and customer review before trusting them with their precious time and money. 

I have also been a part of this scam when I trusted them with $50,000 of my savings in a promising and valuable money investment scheme. I could not recover my money even though I reported it on multiple websites and conducted legal procedures to get my money back from these fraudsters.

The Final Verdict on Monex Group

The Monex Group is not the first company that scammed people with online money and fake programs so that more and more people invest and trust them but, in return, are left with no cash and zero bank balance. Never trust a company this much even if they have a name out there in the market world because in most cases, you are fortuned to lose all the investment without any increase in money. It is alarming that such a fraud company is still out there, and several investors do not even know about it and continue to feed them with cash in the name of investing and securing their funds. However, there are many reports and complaints signed against the Monex Group.

do you need help?

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