Police have shut down a fraudulent cryptocurrency business in the City of London after it was found to be cold calling investors and attempting to sell them fake online money.

Fraudsters allegedly set up the business in London's square mile in an attempt to legitimise their activity persuading victims to invest in a fictional cryptocurrency.

The City of London Police arrested a man on Wednesday on suspicion of helping to set up the scam call centre, or "boiler room", on Old Broad Street, which is around the corner from the Bank of England.

The man is accused of trying to entice victims to invest in a fictional cryptocurrency, the police said.

"Victims were cold called by salespeople who allegedly persuaded them to invest in a cryptocurrency that does not exist and is therefore worthless," said the police.

The business is thought to have been lucrative, with nine victims reporting the firm to Action Fraud, who lost an estimated £160,000 in total.