Hong Kong Securities and Futures Commission's Yip Chi-hang: Some companies claim to intend to apply for stablecoin licenses, leading to a rise in stock prices; investors need to be vigilant about increasing fraud risks.

Deep Tide TechFlow news, on August 17, according to Ming Pao, the Executive Director of the Intermediary Institutions Department of the Hong Kong Securities and Futures Commission, Yip Chi-hang, stated in a wireless program (Speaking Clearly) that he noticed that after the recent (stablecoin regulations) came into effect, some companies claimed to apply for licenses or intended to apply for licenses, and their stock prices rose. He pointed out that investor reactions have been fervent, urging investors to maintain a 'rational line', as the Securities and Futures Commission is concerned about the increased risk of fraud.

Yip Chi-hang stated that there were 265 complaints about virtual asset transactions in the first half of this year, mainly involving overseas investors' offshore investments, and claimed that there were financial losses due to reasons such as encountering fraud, platforms being hacked and assets stolen, the platform refusing to recognize winnings, or the trading counterpart being accused of money laundering, leading to funds being suddenly frozen. He noted that when investors trade virtual assets but do not use licensed platforms, it is described as investors actually taking risks, playing 'Russian roulette'. Additionally, he mentioned that the Securities and Futures Commission is still investigating the JPEX fraud case.