Head over to HoweyCoins.com and read up on its nine-page white paper. Plus, check out its streamlined website design, and you will highly likely be impressed with the solid details it provides on its newly launched digital currency. Howeycoins’ aim is to be “the cryptocurrency standard for the travel industry.” The site’s technologically-specific white paper offers a colorful graph and statistics from the World Tourism Organization. A running timer – which is the first thing that greets site visitors – counts down to the time when the 15% bonus for the pre-ICO sale ends.
Howeycoins purports to be officially registered with the U.S. government and can be easily spent on any participating airline or hotel. Investment levels are carefully structured to allow would-be investors make an informed decision on whether they should take a risk on the Platinum Investment Ladder (which promises a double 25% discount by June 1), Gold Investment Ladder (which promises a 25% discount by June 15), Silver (which offers a double 12.5% discount by June 30), and Bronze (where investors are sure to receive a 5% discount by July 1).
The team behind Howeycoins are all laid out on the site with their names, faces, and job titles described for all to see. Celebrity promoters also gave their thumbs up on Howeycoins’ potential success. But wait! When those who were taken by the flash and seeming facts boasted by the site clicked on the “Buy Coins Now!” button, things went from sunny to suddenly sober as users were immediately sent to investor.gov, a site managed by the Securities and Exchange Commission of the United States.
Howeycoins.com is apparently fake and specially created by the SEC to make a glaring point: “If you responded to an investment offer like this, you could have been scammed”. SEC patterned the bogus Howeycoins site to similar fraudulent sites that offer initial coin offerings, blockchain technology, and cryptocurrencies. According to the SEC, Howeycoins functioned as an “educational tool to alert investors” against scam offerings.
The SEC also listed down red flags to avoid being duped out of your hard-earned money: those which promise high and guaranteed returns, cryptocurrencies endorsed by celebrities, those who claim to be SEC-compliant, cryptos that can be bought using credit cards, and pump and dump scams.
The SEC has been working diligently to halt the proliferation of fraudulent ICOs. Just last month, it has charged one of the masterminds of a scam ICO . It also created a Cyber Unit dedicated to cracking down on “cyber-related misconduct by utilizing the division’s substantial cyber-related expertise.”