Important news from last night to this morning (May 8-9)

Hong Kong Securities and Futures Commission Names StableStock and HabitTrade, Stating Both Platforms Operate Without Licenses and Promote Virtual Asset Services Related to Hong Kong.

The Hong Kong Securities and Futures Commission has listed StableStock and HabitTrade on its warning list, claiming that online videos have been used to induce the public to use StableStock, and that virtual currencies can be used to subscribe to Hong Kong stock IPOs. The SFC stated that both platforms are unlicensed, cannot conduct regulated activities in Hong Kong, and are not authorized to promote services to the Hong Kong public.

StableStock later stated that it has implemented geographic restrictions on registration and trading for Hong Kong users, and has removed third-party promotional content that may reach Hong Kong users, claiming that existing users’ assets, trading, and custody arrangements are unaffected. HabitTrade said it does not conduct regulated activities in Hong Kong and does not offer services to the Hong Kong public.

The Hong Kong Securities and Futures Commission reminds that unlicensed platforms are unregulated, and investor protections are very limited, with serious risks of losing all investments. Both companies stated they will take legal action against third parties that promote or redirect traffic using their brands without authorization, and will cooperate with investigations in relevant jurisdictions.

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