The Securities and Futures Commission (SFC) of Hong Kong has issued a warning regarding suspected fraud involving two crypto entities, Hong Kong Digital Research Institute and BitCuped. The SFC stated that the Hong Kong Police Force has blocked access to the websites of these entities, as users could be deceived into making illegitimate investments. Cease and desist letters have also been sent to the website operators.
The SFC suspects that HongKongDAO, also known as Hong Kong Digital Research Institute, may be spreading false and misleading information about itself and its business through online channels. BitCuped, on the other hand, falsely claims on its website that ‘Laura Cha’ and ‘Nicolas Aguzin’ serve as its Chairman and Chief Executive Officer, when in reality, they have no affiliations with the company.
The misleading information related to HongKongDAO could lead individuals to believe that its services are properly licensed and legitimate, thereby encouraging them to invest in the HKD token. The SFC clarifies that Cha and Aguzin are executives with the Stock Exchange of Hong Kong and are not connected to BitCuped.
In October, the SFC announced its plans to update its policies on digital currency sales and requirements, taking into account market developments and industry feedback. Starting from June 2024, exchanges operating within Hong Kong must obtain a virtual asset service provider license from the SFC.
This recent warning from the SFC highlights the ongoing challenges and risks associated with fraudulent activities in the crypto industry. It serves as a reminder for investors to exercise caution and conduct thorough due diligence before engaging with any crypto entities or making investment decisions.
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 | HongKongDAO, Hong Kong Police Force, BitCuped, Stock Exchange of Hong Kong, Hong Kong Digital Research Institute |
| Currencies | Hong Kong Dollar |
| Securities | None |
