HK regulator warns public of TCAME and BitCloud

Hong Kong’s Securities and Futures Commission (SFC) today warned the public of entities operating under the names of “TCAME” and “BitCloud”.

The entities are suspected of engaging in virtual asset-related fraudulent activities and falsely claiming to be licensed or certificated in various jurisdictions.

  • TCAME refers to a purported virtual asset trading platform operating at TCAME claimed that it has St Vincent FSA licence for trading operation, Canadian Money Services Business licence and Philippines BSP licence. However, none of the licences shown on the website appear to be genuine.
  • BitCloud refers to a purported virtual asset trading platform operating at BitCloud purported to have obtained certificates from the Financial Crimes Enforcement Network and the National Futures Association respectively when in fact this is not the case.

Both entities claim to provide cryptocurrency trading services and use social media platforms or instant messaging apps to refer investors to their respective websites to register as a user for investment in cryptocurrencies. Investors subsequently reported withdrawal issues, including being required to make additional “deposits” to process withdrawals, while some said their accounts were frozen subsequently.

Both entities and their respective websites were added to the SFC’s Suspicious Virtual Asset Trading Platforms Alert List on 12 April 2024. While their websites are now inaccessible, the public should beware that new websites with similar domain names may be created to mislead investors.

Online investment scams may involve any type of assets and are perpetrated through multiple channels. Those who fall victim may suffer substantial losses.

The SFC once again warns the public to be cautious about “too-good-to-be-true” investment opportunities and advice posted on social media platforms and via instant messaging apps. Investors should stay vigilant and beware of fraud when making investment decisions.