21 February 2018
visit www.nextgenbanking.co.uk/

Hong Kong central bank warns of bitcoin dangers as MyCoin disappears without trace

10 February 2015  |  8420 views  |  0 Hong kong modern buildings 1

Hong Kong's central bank has warned the public about investing in bitcoin after local media reports that a virtual currency exchange operator may have scarpered with $387 million in client funds.

South China Morning Post reported the closure of Hong Kong-based MyCoin, billing the business as an unregulated ponzi scheme that has left up to 3000 investors facing massive losses.

MyCoin promised investors startling returns on their investments at the same time as the crypto-currency markets were being upended by a downward spiral in bitcoin values.

Responding to the reports, the Hong Kong Monetary Authority has issued a statement, re-iterating its previous guidance over the dangers of investing in virtual currency schemes.

States the HKMA: "We would like to remind members of the public to stay vigilant and guard against unscrupulous practices when participating in any investment plan, regardless of whether the products are bitcoin ... or any type of financial or non-financial assets."

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Silk Road kingpin Ulbricht found guilty

Silk Road kingpin Ulbricht found guilty

04 February 2015  |  3908 views  |  0 comments | 2 tweets | 3 linkedin
Coinbase runs into trouble over New York and California regulatory status

Coinbase runs into trouble over New York and California regulatory status

30 January 2015  |  9198 views  |  0 comments | 8 tweets | 1 linkedin
Crooks net $11m in bitcoin scams - research

Crooks net $11m in bitcoin scams - research

30 January 2015  |  8151 views  |  3 comments | 6 tweets | 4 linkedin
Bitcoin breaches $200 mark as bubble bursts

Bitcoin breaches $200 mark as bubble bursts

14 January 2015  |  7990 views  |  1 comments | 13 tweets | 6 linkedin
No happy new year for bitcoin as prices slump and Bitstamp suspends services

No happy new year for bitcoin as prices slump and Bitstamp suspends services

05 January 2015  |  8295 views  |  3 comments | 9 tweets | 6 linkedin
Mizuho faces legal action over MT Gox collapse

Mizuho faces legal action over MT Gox collapse

17 March 2014  |  4738 views  |  0 comments | 4 tweets | 8 linkedin

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.ebaday.comVisit http://info.nice.comVisit https://www.capgemini.com

Top topics

Most viewed Most shared
ABN Amro moves escrow accounts to the blockchainABN Amro moves escrow accounts to the bloc...
10122 views comments | 15 tweets | 13 linkedin
ECB launches staunch defence of cashECB launches staunch defence of cash
9717 views 10 comments | 22 tweets | 26 linkedin
Coinbase and Visa at loggerheads over erroneous charges on customer crypto accountsCoinbase and Visa at loggerheads over erro...
8480 views comments | 13 tweets | 12 linkedin
BBVA-backed digital banking startup targets gig economy workersBBVA-backed digital banking startup target...
7153 views comments | 8 tweets | 12 linkedin
hands typing furiouslyMaking Customer Experience Your Business
6868 views 0 | 7 tweets | 5 linkedin

Featured job

Competitive
London, UK (or flexible)

Find your next job