Hong Kong SFC Raises Alert Over MEXC Imposter

The Hong Kong Securities and Futures Fee (SFC) has issued an alert on a suspected fraudulent platform impersonating the presence and operations of a preferred cryptocurrency alternate MEXC. This growth comes from a joint operation between the Hong Kong regulator and the native police drive aimed toward uncovering illicit actions of digital asset buying and selling platforms (VATPs).

SFC Warns Hong Kong Residents Of Fraudulent Buying and selling Platform

In keeping with an announcement on February 9, the SFC is warning crypto lovers and traders of an ambiguous buying and selling platform that operates beneath the identify “MEXC.” In a joint investigation with the Hong Kong police, the securities market regulator found that “MEXC” has lured a number of traders into turning into members of group chats during which it claimed to supply “free funding recommendation.”

By way of this medium, “MEXC” was in a position to direct unsuspecting traders into depositing funds by fraudulent web sites so as to buy cryptocurrencies. The suspected entity allegedly supplied its victims with financial institution accounts which it claimed had been for funding functions; nevertheless, after “investing”, clients had been unable to course of a withdrawal. 

The SFC has now listed “MEXC” as a part of its “Suspicious digital asset platforms” with remarks that state:

The entity presupposed to be a digital asset buying and selling platform working on the above web sites and is suspected of partaking in fraudulent actions. Victims had been requested to deposit funds into designated financial institution accounts for funding functions, however after that, they reported difficulties with fund withdrawal.

The SFC has additionally listed all eight web site domains related to the suspected VATP. As well as, the securities watchdog continues to admonish Hong Kong residents in opposition to all funding schemes that seem “too-good-to-be-true”, emphasizing the necessity for vigilance in making monetary choices.  

MEXC Clears Its Identify, Denounces Imposter

In response to SFC’s announcement, outstanding cryptocurrency alternate MEXC has come out to declare the buying and selling platform beneath investigation as a counterfeit with no hyperlinks to its official operations. In an X publish on Saturday, MEXC has suggested customers to keep away from interacting with such fraudulent platforms stating its solely official web site is mexc.com. 

Launched in 2018, MEXC is ranked as one of many prime international crypto buying and selling platforms, with over 10 million customers in 170 nations worldwide. Nevertheless, this newest growth solely provides to the current strings of controversies surrounding Seychelles-based alternate.  In December 2023, Bitcoinist reported the buying and selling platform was accused of fabricating its order e book amidst heavy criticism for allegedly locking a number of traders out of their accounts and seizing their property.

Complete crypto market valued at $1.729 trillion | Supply: TOTAL chart on Tradingview.com

Featured picture from Medium, chart from TradingView