The German regulator BaFin warns that online diamond dealer Predator Capital & Management Group Ltd (www.predator-diamanten.de), a UK-registered company, does not have a license to conduct banking business. BaFin does not supervise the company. In the view of the German regulator, Predator Capital & Management Group is conducting unauthorized banking business in Germany in that it already agrees to buy back diamonds when they are sold.
In times of Ukraine war, nervous capital markets, rising inflation, and decaying cryptocurrencies, gold and diamonds are an alternative for many conservative investors. Predator, run by German Klaus Pfister, offers investment diamonds to allow investors to secure their capital and protect it from devaluation due to inflation. If desired, a repurchase at a later date is also agreed upon. BaFin regards this as a business requiring a license.
