The Federal Financial Supervisory Authority (BaFin) has issued a warning regarding the website greenhawk-ct.com, which is allegedly offering financial, investment, and crypto asset services without the necessary authorization. This announcement was made in a news release on January 24.
According to BaFin, the operator of Greenhawk-CT does not provide legal business details and falsely claims to be authorized and regulated by the Crypto Conduct Authority, an entity that is not recognized as a legitimate supervisory body. The warning is based on provisions from the German Banking Act and the German Crypto Markets Supervision Act.
Section 37 of the German Banking Act (KWG) permits BaFin to take action against unauthorized banking activities or financial services. If a company operates without required licenses or engages in prohibited transactions, BaFin can order it to cease operations and appoint a liquidator for settlement. Additionally, BaFin has the authority to inform the public if a company is suspected or found to be engaging in unauthorized activities. Should any information prove false, BaFin is obligated to correct it, as said by the Federal Ministry of Justice of Germany.
Blockpit's analysis ranks Binance as Europe's safest licensed cryptocurrency exchange due to its regulation in multiple European countries, AES-256 encryption, and its Secure Asset Fund for Users (SAFU) program for user protection. Coinbase follows in second place with 98% of assets held offline, licensing by BaFin in Germany, and advanced security protocols. Kraken ranks third with 95% of assets stored in cold wallets and adherence to regulations across the EU and other regions.
BaFin oversees Germany's financial system stability and integrity. It supervises banks, financial services institutions, payment institutions, e-money institutions, insurers, asset managers, among others. Its responsibilities include solvency supervision, market supervision to ensure fair conditions, and preventing misuse for money laundering or terrorist financing.