Dhaka Stock Exchange (DSE) Chairman Mominul Islam on Monday warned that investors are being defrauded through fake investment offers, misinformation and promises of doubling their money in a short time on social media.
"Investors are suffering financial losses due to these scams, which are run using the logos of stock exchanges and financial institutions," he said at a seminar titled "Digital Deception and Scam Alert" held at the DSE Tower in the capital's Nikunja area.
Mominul said public confidence in the capital market is also being eroded, stressing the need for modern surveillance, enforcement of laws, greater investor awareness and stronger communication to tackle the situation.
The DSE and the DSE Brokers Association of Bangladesh (DBA) jointly organised the seminar as part of "World Investor Week 2026."
The DSE chairman said a key condition for ensuring effective information flow in the capital market is delivering timely, accurate and complete information to investors. “However, with the spread of social media, digital fraud has emerged as a new challenge.”
Using the logos of stock exchanges and various financial institutions, many people are posing as registered or licensed financial analysts, he said, adding that such moves are aimed at misleading and influencing investors.
Unrealistic promises, such as turning Tk 1 lakh into Tk 2 lakh within two weeks, are being used to lure people into traps, Mominul said.
Fraudsters are running various scams, including Ponzi schemes, by exploiting people's desire to get rich quickly, he said, noting that social media has spread such frauds far more widely than before.
The DSE chairman further said a huge volume of information unrelated to market fundamentals is circulating on social media. “Some individuals, in the name of technical analysis, are making remarks about the market that have no connection to its fundamentals.”
"Vested quarters may be behind such activities," he said, adding that investors are being confused and there is a risk of disruption to the normal functioning of the market.
Mominul said the DSE has taken steps to modernise its surveillance and monitoring systems.
It is also moving to make investor awareness programmes more effective in coordination with the Bangladesh Securities and Exchange Commission (BSEC), he said.
Preventive measures alone cannot stop digital fraud, the DSE chairman said, adding that credible information and positive messages must also be presented to counter misleading campaigns.
For this, he stressed building strong brokerage houses, merchant banks and asset management companies in the capital market, saying their institutional capacity and governance must be improved while also focusing on earning public trust.
Mominul underlined the need for collective efforts to develop the capital market as a strong and effective pillar of the economy.
Effective surveillance, greater awareness and a robust communication system must be built to combat digital fraud and restore investor confidence, he added.