Hong Kong’s Securities and Futures Commission (SFC) has banned two cryptocurrency websites, HongKongDAO and BitCuped, for allegedly scamming investors. The SFC took action after receiving information that the platforms were misleading users. HongKongDAO was found to have deceived users into purchasing a token called “HKD” and falsely claimed to have applied for licenses from the SFC and government. BitCuped, on the other hand, falsely listed Hong Kong Exchanges and Clearing (HKEX) officials as owners and misled investors by offering crypto and stocks trading services. The SFC worked with the police and internet service providers to block access to the websites and issued a cease and desist notice to crypto trading platforms regarding tokens linked to HongKongDAO.
While the SFC did not disclose the number of victims or the total losses suffered, police investigations are underway. This crackdown on fraudulent crypto platforms comes after investors lost over 1.6 billion HKD ($204 million) in the recent cases of Hounax and JPEX. Hong Kong regulators and law enforcement are intensifying their efforts to prevent scams and have previously warned crypto platforms against misleading investors with false claims about their registration status. They have also cautioned against offering products and services that are not registered or authorized by the commission.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Asia |
| Countries | 🇨🇳 ðŸ‡ðŸ‡° |
| Sentiment | negative |
| Relevance Score | 1 |
| People | Nicolas Aguzin, Laura Cha |
| Companies | BitCuped, JPEX, SFC, Hong Kong Exchanges and Clearing (HKEX), Hong Kong’s Securities and Futures Commission (SFC), HongKongDAO, Hounax |
| Currencies | Hong Kong Dollar |
| Securities | None |
