Hong Kong monetary regulator, the Securities and Futures Fee (SFC), issued a public warning about MEXC’s unlicensed operations inside its jurisdictions.
SFC acknowledged:
“The entity purports to be a digital asset buying and selling platform working on the above web site. It has been concentrating on Hong Kong buyers however shouldn’t be licensed by the Securities and Futures Fee.”
Consequently, the platform has been added to Hong Kong’s listing of suspicious digital asset buying and selling platforms, together with different notable crypto corporations like ByBit.
Native legal guidelines violation
Per the SFC, MEXC’s operation within the city-state violated native legal guidelines.
In response to the SFC:
“Below the Anti-Cash Laundering and Counter-Terrorist Financing Ordinance, it’s an offence to hold on a enterprise of offering a digital asset service (ie, working a digital asset trade) in Hong Kong and/or actively market such providers to Hong Kong buyers and not using a licence.”
This isn’t the primary time the SFC has issued a public warning associated to the MEXC trade. Earlier within the 12 months, the regulator acknowledged that scammers have been pretending to be from the crypto buying and selling platform and luring unsuspecting victims into collaborating in what seems to be a crypto funding rip-off.
The scammers used hyperlinks with addresses that begin with “MEXC” and finish in random letters, much like phishing hyperlinks.
As such, the SFC mentioned it might pursue regulatory motion in opposition to the platform if needed.
“The SFC won’t hesitate to take enforcement motion in opposition to unlicensed actions the place acceptable,” it added.
In the meantime, the monetary regulator warned crypto buyers in opposition to buying and selling on unregistered platforms, including that they danger dropping their funding if the platform experiences any type of failure.
SFC’s MEXC warning is unsurprising, contemplating the monetary watchdog not too long ago ended its registration window for crypto corporations to use for licensing to function throughout the Asian city-state. Unregistered entities should shut their companies by the tip of Might.
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