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Authorities in Hong Kong have confirmed that 145 individuals filed complaints regarding losses from an unlicensed cryptocurrency exchange called Hounax. Police report the total losses amount to around $18.9 million.
Earlier this month, the Hong Kong Securities and Futures Commission (SFC) cautioned users about the suspicious trading platform. According to authorities, Hounax falsely claimed to have licenses and backing from legitimate financial institutions.
Details of the Hounax Crypto Scam.
On November 25th, Hong Kong police held a press conference announcing the complaints against Hounax. They revealed that as of November 27th, 18 people had come forward reporting losses ranging from $1,539 to $1.2 million HKD (Hong Kong dollars).
Inspectors said Hounax recruited unsuspecting crypto traders through social media and messaging apps. The scam prompted victims to invest in virtual currencies through the Hounax app with promises of high returns.
Hong Kong fails to prevent Hounax scam, leaving investors fuming – Residents in Hong Kong have reportedly fallen victim to a suspected cryptocurrency scam involving the Hounax platform, with reported losses totaling HK$148 million (US$19 million). The victims argue that the … pic.twitter.com/Gs6vR1iLep
— The Industry Spread (@industryspread) November 27, 2023
According to inspectors, the moment victims transferred funds to Hounax, the money was siphoned away. Withdrawal attempts were rejected or met with demands for verification fees of up to 80% of the original funds.
Over $18.9 Million in Losses Reported.
The reported losses from all 145 Hounax users now total around 148 million HKD, equivalent to $18.9 million USD. Police say the victims range in age from 19 to 78 years old.
The largest reported individual loss belonged to a 69-year-old retired woman who was scammed out of $1.54 million HKD, nearly $135 thousand USD. Authorities say none of the victims met the Hounax scammers in person.
This compounds the ongoing issues with unlicensed crypto exchanges in Hong Kong this past year. Back in September, the JPEX exchange scam affected over 2,500 victims with losses surpassing $192 million.
Hong Kong Focuses Efforts on Curbing Unlicensed Exchanges.
In light of these troubling events, Hong Kong regulators seek to tighten oversight of cryptocurrency trading platforms to avoid further incidents. Just last month, the SFC published a warning list of suspicious crypto exchanges that included Hounax.
For now, authorities say the one-year grace period for platforms to register with Hong Kong regulators will remain unchanged. But officials emphasize the need to accelerate efforts to root out unlicensed businesses wrongly portraying themselves as legitimate.
As law enforcement pursues the entities behind the Hounax scam, regulators continue working to implement more robust framework for governing cryptocurrency markets. This aims to strike a balance between innovation and consumer protection in a rapidly evolving landscape.
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https://cryptonews.com/news/hong-kong-police-receive-145-complaints-of-hounax-crypto-scam-totaling-18-9m.htm
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***NOT FINANCIAL, LEGAL, OR TAX ADVICE! JUST OPINION! I AM NOT AN EXPERT! I DO NOT GUARANTEE A PARTICULAR OUTCOME I HAVE NO INSIDE KNOWLEDGE! YOU NEED TO DO YOUR OWN RESEARCH AND MAKE YOUR OWN DECISIONS! THIS IS JUST ENTERTAINMENT!
This information is what was found publicly on the internet. This information could’ve been doctored or misrepresented by the internet. All information is meant for public awareness and is public domain. This information is not intended to slander harm or defame any of the actors involved but to show what was said through their social media accounts. Please take this information and do your own research.
bitcoin, blockchain, crypto, cryptocurrency, altcoin, investment, ethereum, bitcoin crash, xrp, cardano, ripple
Authorities in Hong Kong have confirmed that 145 individuals filed complaints regarding losses from an unlicensed cryptocurrency exchange called Hounax. Police report the total losses amount to around $18.9 million.
Earlier this month, the Hong Kong Securities and Futures Commission (SFC) cautioned users about the suspicious trading platform. According to authorities, Hounax falsely claimed to have licenses and backing from legitimate financial institutions.
Details of the Hounax Crypto Scam.
On November 25th, Hong Kong police held a press conference announcing the complaints against Hounax. They revealed that as of November 27th, 18 people had come forward reporting losses ranging from $1,539 to $1.2 million HKD (Hong Kong dollars).
Inspectors said Hounax recruited unsuspecting crypto traders through social media and messaging apps. The scam prompted victims to invest in virtual currencies through the Hounax app with promises of high returns.
Hong Kong fails to prevent Hounax scam, leaving investors fuming – Residents in Hong Kong have reportedly fallen victim to a suspected cryptocurrency scam involving the Hounax platform, with reported losses totaling HK$148 million (US$19 million). The victims argue that the … pic.twitter.com/Gs6vR1iLep
— The Industry Spread (@industryspread) November 27, 2023
According to inspectors, the moment victims transferred funds to Hounax, the money was siphoned away. Withdrawal attempts were rejected or met with demands for verification fees of up to 80% of the original funds.
Over $18.9 Million in Losses Reported.
The reported losses from all 145 Hounax users now total around 148 million HKD, equivalent to $18.9 million USD. Police say the victims range in age from 19 to 78 years old.
The largest reported individual loss belonged to a 69-year-old retired woman who was scammed out of $1.54 million HKD, nearly $135 thousand USD. Authorities say none of the victims met the Hounax scammers in person.
This compounds the ongoing issues with unlicensed crypto exchanges in Hong Kong this past year. Back in September, the JPEX exchange scam affected over 2,500 victims with losses surpassing $192 million.
Hong Kong Focuses Efforts on Curbing Unlicensed Exchanges.
In light of these troubling events, Hong Kong regulators seek to tighten oversight of cryptocurrency trading platforms to avoid further incidents. Just last month, the SFC published a warning list of suspicious crypto exchanges that included Hounax.
For now, authorities say the one-year grace period for platforms to register with Hong Kong regulators will remain unchanged. But officials emphasize the need to accelerate efforts to root out unlicensed businesses wrongly portraying themselves as legitimate.
As law enforcement pursues the entities behind the Hounax scam, regulators continue working to implement more robust framework for governing cryptocurrency markets. This aims to strike a balance between innovation and consumer protection in a rapidly evolving landscape.
Enter your email for our Free Daily Newsletter
...
https://cryptonews.com/news/hong-kong-police-receive-145-complaints-of-hounax-crypto-scam-totaling-18-9m.htm
#crypto #bitcoin #ethereum #cryptocurrency #news #blockchain #litecoin #cryptonews #cryptonewstoday #cryptoworld #cryptoworlddaily #cryptoscam #cryptoscamnews #cryptoscamnewstoday #hongkongcrypto #hongkongcryptonews #hongkongcryptonewstoday #hounaxexchange #hounaxexchangenews #hounaxexchangenewstoday #hounaxscam #hounaxscamnews #crypto
***NOT FINANCIAL, LEGAL, OR TAX ADVICE! JUST OPINION! I AM NOT AN EXPERT! I DO NOT GUARANTEE A PARTICULAR OUTCOME I HAVE NO INSIDE KNOWLEDGE! YOU NEED TO DO YOUR OWN RESEARCH AND MAKE YOUR OWN DECISIONS! THIS IS JUST ENTERTAINMENT!
This information is what was found publicly on the internet. This information could’ve been doctored or misrepresented by the internet. All information is meant for public awareness and is public domain. This information is not intended to slander harm or defame any of the actors involved but to show what was said through their social media accounts. Please take this information and do your own research.
bitcoin, blockchain, crypto, cryptocurrency, altcoin, investment, ethereum, bitcoin crash, xrp, cardano, ripple
