On September 8, 2025, Spain’s Comisión Nacional del Mercado de Valores (CNMV) issued a securities fraud warning against ToFro Exchange, declaring it unauthorized to provide investment services under the Spanish Securities Markets and Investment Services Act, per. The CNMV stated that ToFro offers unregistered securities, which is illegal and constitutes securities fraud, per. The warning highlights ToFro’s websites (tofro.com and related domains) as promoting unlicensed crypto trading and DeFi staking, per. This follows similar alerts from regulators like the SEC in Nigeria and AFM in the Netherlands, per.
ToFro is linked to the collapsed MTS Foundation “click a button” app Ponzi scheme, which used fake trading signals to lure investors, per. MTS Foundation’s website was disabled in August 2025, and ToFro’s domains were shut down earlier in September, per. Launched in mid-2024, ToFro operated as an MLM crypto Ponzi, promising high returns via referrals and failing to honor withdrawals, per. Victims, primarily from Nigeria and Ghana, reported losses exceeding $100M, with ToFro exhibiting classic Ponzi traits like high yields and referral reliance, per.
The CNMV’s alert aligns with international efforts against ToFro, including SEC Nigeria’s May 2025 Ponzi warning and AFM Netherlands’s high-risk classification, per. ToFro lacks licenses from bodies like CySEC, ASIC, FCA, or CNMV, raising red flags for fund safety, per. X posts from @CryptoLawyerz urge victims to report to local authorities, noting ToFro’s use of fake testimonials and staged events, per. The scheme’s traffic, once high in Nigeria, has plummeted, per.
Investors should avoid ToFro and report issues to the CNMV at cnmv.es or local regulators like the SEC in Nigeria, per. Bitcoin (BTC) ($113,234) and Ethereum (ETH) ($4,070) remain stable, per CoinMarketCap, but such scams erode DeFi trust. Diversify into USDC or ETH with stop-losses below BTC’s $112,000, per TradingView. Follow @TheBlock__ on X for updates. ToFro’s collapse may lead to enhanced EU enforcement, per.
