Editor's Pick

Hong Kong Authorities Block Two Crypto Websites Suspected of Fraud

Source: Pixabay

The Securities and Futures Commission (SFC) of Hong Kong has issued a public warning regarding two crypto firms suspected of engaging in fraud.

The watchdog has cautioned the public to be wary of “LonShiX” and “Bitbank (Global) Financial Holding Group,” both allegedly engaging in activities related to virtual assets.

Earlier this month, Hong Kong SFC had crakced down on two crypto websites suspected of engaging in fraudulent activities.

Crypto Firms Faked Registerations With SFC

LonShiX, operating under false pretenses, claimed a Hong Kong address on its website, misleading potential investors. The entity enticed individuals to open investment accounts by falsely presenting itself as a recognized investment professional endorsed by banks across various social media platforms and instant messaging services.

Similarly, the SFC expressed concern about Bitbank (Global) Financial Holding Group, highlighting its name’s striking similarity to a legitimate Japanese cryptocurrency exchange. Despite this resemblance, the two entities are unrelated. The SFC suspects Bitbank (Global) Financial Holding Group of disseminating false and misleading information online, including claims of possessing an SFC license and purportedly applying for a virtual asset service provider license.

The Hong Kong Police Force has blocked the websites of LonShiX and Bitbank (Global) Financial Holding Group, as well as their associated X accounts, at the request of the SFC.

Both LonShiX and Bitbank (Global) Financial Holding Group have found themselves on the China Securities Regulatory Commission’s suspicious virtual asset trading platform warning list as of December 20, 2023.

The SFC, reiterating its commitment to investor protection, warns the public against falling for “too good to be true” investment opportunities, especially those propagated through social media and instant messaging platforms.

Earlier, JPEX scandal that duped victims out of nearly $200 million prompted Hong Kong’s regulators to intensify crackdown on crypto frauds.

The post Hong Kong Authorities Block Two Crypto Websites Suspected of Fraud appeared first on Cryptonews.

What's your reaction?

In Love
Not Sure

You may also like

Leave a reply

Your email address will not be published. Required fields are marked *