THE SECURITIES and Exchange Commission (SEC) has warned the public against investing in DigiVault Trading and Altstrade, saying these entities are not registered to solicit investments.
In two separate advisories on its website, the commission said that DigiVault Trading and Altstrade do not have the license to offer and sell securities.
DigiVault Trading allegedly offers six investment packages that promise returns ranging from 15% to 357%, depending on the investment amount and duration. The investment plans range from P50 up to P500,000 and offer potential profits within periods of five to 75 days.
An investor could also earn a 5% to 25% direct referral bonus, depending on the plan.
“DigiVault Trading has not secured prior enforcement and investor protection department registration and/or license to solicit investments from the commission as prescribed under Section 8 and 28 of the Securities Regulation Code (SRC),” the SEC said.
The SEC also said that Altstrade allegedly offers investments worth P1,000, promising to earn 30% up to 500% within a seven-day to two-month lock-in period.
The entity also promises that an investor will earn a 10% direct and 1% indirect referral commission from the second to the 10th level.
“The public is hereby informed that Alts-trade is not registered and is not authorized to offer, solicit, sell, or distribute any investment/securities to the public,” the SEC said.
“Such activities require a secondary license from the commission and the securities or investment product should likewise be registered with the SEC before they can be offered or sold to the public under Sections 8 and 12 of the SRC,” it added.
BusinessWorld sought comments from the two entities but has yet to receive a response as of the deadline. — Revin Mikhael D. Ochave