MFSA Warns Against AI Trading Tool Libra

The Malta Financial Services Authority (MFSA) alerted the public on March 15, 2024, on Libra, a business that has been advertising an AI trading tool via Facebook pages and sponsored videos. Regarding the MFSA, unlike what its online appearance would imply, Facebook is not linked to Libra.

The authorities expressed doubts about the validity of Libra's advertising materials. It brought attention to the possibility that organizations may manipulate photos and videos using AI technology, deceiving customers about the legitimacy and dependability of their offerings. The MFSA advises the general public to conduct thorough research before engaging in financial services-related transactions.

As the warning made clear, Libra is neither authorized nor regulated to offer financial services in Malta. According to the MFSA, the available evidence implies that Libra's activities might be dubious, endangering investors with potential financial loss. It is a must that members of the general public abstain from engaging in any commercial dealings or transactions with Libra.

Furthermore, clients must exercise heightened vigilance when they approach through atypical means, such as unsolicited phone calls or communications on social media platforms, regarding financial services. In order to protect themselves from exploitation, the authorities advised consumers to caution others, particularly those lacking fundamental financial knowledge, about the risks associated with such offers.

The advisory from the MFSA attempts to shield customers from doing business with unapproved and possibly dishonest financial services companies. When making investment selections, it's crucial to confirm the authenticity and licensing of financial services companies, as highlighted by the warning against Libra.