Real Wallet Verification or Advance-Fee Fraud? MyCoinPlus Demands $1,200 After Blocking Trader's Withdrawal

BrokersView has received a trader complaint against the cryptocurrency investment platform MyCoinPlus. Here's what the trader reported, raising multiple red flags.

According to the trader, he had invested $1,000 with MyCoinPlus throughout trading for one week. When attempting to withdraw a return of $15,190 using his Cash App wallet address, he was informed that the wallet was not supported. He then resubmitted the withdrawal request by switching to a Crypto.com wallet address as requested, but MyCoinPlus claimed that the address was also unsupported.

Subsequently, the trader was asked to undergo a wallet address verification process, which required him to pay a $1,200 verification fee. MyCoinPlus assured him that the fee would be refunded once the verification was complete.

Trader’s Doubt Overshadowed by Urgency Pressure

The situation initially raised the trader’s suspicions. However, after conducting a Google search and finding similar wallet verification cases across other trading platforms, he came to believe the fee requirement might be legitimate.

Despite his reservations, the trader ultimately made the payment on Monday, prompted by his account manager's urgent warning that the verification needed to be completed within 24 to 48 hours.

Revealing Red Flags

The MyCoinPlus website does not disclose any information about the withdrawal policy. Cash App and Crypto.com are widely used platforms. It's hard, therefore, not to suspect that the claim involving unsupported wallets is an excuse and a tactic used by MyCoinPlus to prevent withdrawals.

For regulated platforms, verification of wallet addresses is usually technical or for security and compliance purposes and does not involve payment. MyCoinPlus’s fee requirement resembles tactics used in advance-fee fraud, where clients are asked to pay upfront for promised returns, which will never materialize.

A required “wallet address verification” fee of $1,200 is not standard practice in legitimate platforms. The added urgency of a 24–48 hour deadline further pressured the trader into paying. These practices indicate potential fraud.

MyCoinPlus: Regulatory Gaps and Fraud Risk

MyCoinPlus fails to disclose any regulatory information on its website, and its social media buttons redirect to irrelevant or invalid pages. The platform relies solely on vague investment plans and promotional content, without offering corporate transparency.

Although MyCoinPlus lists a U.S. office address, a search in the National Futures Association (NFA) database reveals no record of registration, confirming that MyCoinPlus is not registered with the Commodity Futures Trading Commission (CFTC), the federal body responsible for overseeing derivatives and certain digital asset markets in the United States.

As a result, MyCoinPlus operates without any regulatory oversight. This is further compounded by the overall lack of regulatory clarity in the crypto industry, which inherently increases risk.

The trader’s complaint highlights potentially fraudulent behavior consistent with advance-fee scam tactics. BrokersView strongly advises traders to exercise caution and avoid engaging with MyCoinPlus.

If you've fallen victim to financial scams or faced potential fraudulent practices or misconduct by your brokers, reach out to us through Submit a Complaint. The BrokersView team is dedicated to exposing scams, raising investor awareness, and assisting with dispute resolution between traders and brokers free of charge.