Hong Kong regulators warn of increasing crypto exchange impersonation scams

Hong Kong’s Securities and Futures Charge (SFC) has warned the public against suspicious internet sites impersonating the 2 licensed crypto exchanges in town-teach, in line with a Mar. 4 watch.

In step with the consciousness, a few sites impersonating the image and branding of every Hash Blockchain Restricted and OSL Digital Securities Restricted are attempting to trick users.

This false act has misled a few merchants, who reported it to the regulator. Some users complained about their inability to withdraw funds, while others had been forced to pay high charges sooner than unlocking their sources.

As a result of this, SFC warned merchants to behavior their due diligence sooner than the usage of any crypto change, adding that the Hong Kong police bask in blocked the offending internet sites.

To boot, the financial regulator cautioned that there’ll be utterly different wrong platforms impersonating licensed entities. Hence, merchants are strongly urged to examine the registration put of the institutions they engage with.

“The SFC as soon as more reminds the public that on-line funding scams may even involve any form of sources and are perpetrated via a few channels, at the side of social media and quick messaging apps.  Traders must peaceful protect vigilant and test the legitimacy of a digital asset trading platform sooner than making any transactions,” it added.

Meanwhile, right here’s not the main time Hong Kong authorities bask in warned a few online page online impersonating a crypto platform. In February, the regulator issued a public warning against an entity masquerading as crypto change MEXC World that used to be luring unsuspecting victims valid into a crypto funding scam.

Hong Kong’s crypto licensing

Hong Kong has fair not too prolonged ago change valid into a vacation space of quite quite loads of for crypto exchanges attributable to its regulatory clarity and strategic situation in the Asian market.

All the diagram via its most up-to-date crypto change license application power, the SFC obtained functions from a few main exchanges, at the side of Crypto.com, OKX, HTX, and ByBit, to are attempting legally in every single place in the discipline.