Hong Kong’s Securities and Futures Commission (SFC) adds crypto exchange Bybit to its list of suspect virtual trading platforms.
In a new statement, the financial regulator warns investors about this Bybit is an unlicensed virtual asset trading platform (VATP).
“The SFC warns investors against investing with unlicensed entities. Investors may risk losing their entire investment with an unlicensed entity if it ceases operations, collapses or otherwise suffers asset misappropriation.
It will likely be difficult to seek redress against entities not linked to Hong Kong and legal remedies may not be available.”
The SFC says conducting regulated activities without a license is a criminal offense in Hong Kong.
“In Hong Kong, crypto-related products may constitute ‘futures contracts’ or ‘securities’ under the SFO and if so, the trading and/or marketing of these products – whether in Hong Kong or targeted to investors in Hong Kong – a ‘regulated activity’. ‘ and require a license from the SFC unless an exemption applies.
The SFC has also added Bybit affiliates, such as ByBit Wealth Management, Bybit Lending, Bybit Shark Fin, Bybit Web3 Staking, Bybit Leveraged Tokens, Bybit Options and Bybit Futures Contracts and Inverse Futures Contracts, to the warning list for suspect investment products.
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