The SFC reported that crypto exchanges carried out operational activities without having a license from the regulator. All blacklisted sites are suspected of fraudulent activity and deception of investors. In particular, various methods of extorting crypto assets from customers are widely practiced on most of these platforms. For example, blocking the withdrawal of funds with the requirement to pay "fixed fees" to resume operations.
At the same time, the administrations of digital platforms mislead customers and declare in open sources that their crypto exchanges are licensed in the SFC and comply with all established legislative norms. Since January 2020, 39 dubious local crypto companies have been included in the list of SFC warnings. Of these, 28 attracted the close attention of the regulator in 2024.
Earlier, the head of the Treasury of Hong Kong, Christopher Hui, said that regulators will "monitor the development of the situation in the regional market, and, if necessary, are ready to revise the rules for regulating digital assets for licensed companies towards their liberalization."