The SFC, which is the securities and futures regulator of Hong Kong, is currently intensifying its regulation of the crypto sector after an array of high-profile scandals were reported.
As of 25 March, the SFC has added two new crypto exchanges, EDY and HKCEXP, to its alert list of the platforms that are suspected to be involved with illegal activities.
EDY is implicated in having deceptively asserted industry partnerships with banks and having promoted that it had a virtual token prominent. Investors are also said to be experiencing the problem of getting their money back from the site.
The SFC has issued a warning that EDY’s website is no longer available yet they are advised to be extra careful and wary about other scam sites that may defraud them.
HKCEXP is reportedly being involved with financial scams to the point of charging high extraction fees and providing a wrong fully designed address in Hong Kong.
The SFC, in its effort to keep the scammers away, does not exclude the big names either. Crypto platforms like Bybit and MEXC had already been put on the alert list after the authorities discovered they were offering online trading services in the region without any licenses or the required approvals.
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