The Securities and Futures Fee (SFC) of Hong Kong has issued a warning associated to suspected fraud involving crypto entities Hong Kong Digital Analysis Institute and BitCuped.
In a Dec. 6 discover, the SFC said the Hong Kong Police Power had blocked entry to the web sites of BitCuped and Hong Kong Digital Analysis Institute — often known as HongKongDAO — claiming customers may very well be fooled into making illegitimate investments. The regulator additionally issued cease-and-desist letters to the corporations’ web site operators.
“The SFC suspects HongKongDAO may be disseminating false and misleading information about itself and its business through online channels,” mentioned the Dec. 6 discover. “The SFC notes that BitCuped claims on its website that ‘Laura Cha’ and ‘Nicolas Aguzin’ serve as its Chairman and Chief Executive Officer respectively, when in fact none of them has any affiliations with BitCuped.”
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In accordance with the SFC, the “misleading” info associated to HongKongDAO might encourage people to imagine its companies had been “properly licensed and legitimate” and put money into the HKD token. The securities regulatory added that Cha and Aguzin had been executives with the Inventory Trade of Hong Kong quite than linked to BitCuped.
In October, the SFC introduced it deliberate to replace its insurance policies on digital forex gross sales and necessities, citing market developments and business suggestions. Beginning in June 2024, exchanges working inside Hong Kong should have a digital asset service supplier license with the SFC.
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