CoinDesk: Fake 'legal exchange' scams surge after MiCA rollout

Scams targeting crypto holders by posing as “legal exchanges” have surged since the EU’s Markets in Crypto-Assets regulation, or MiCA, took full effect in July, CoinDesk reported. CoinDesk warned that after MiCA took effect, more than 1,700 unlicensed crypto platforms had to stop serving EU customers and direct them to migrate to other platforms. At the time, only 323 firms held MiCA-compliant licenses, and as many as 10 million users were told they needed to move assets from their existing exchanges. CoinDesk said the process created a major opening for impersonation scams, with fraudsters copying real exchange migration notices and posing as regulators to steer victims to fake platforms before stealing funds.