The project team, the regulator believes, misled investors by communicating its full compliance with Hong Kong law and SFC requirements.
Damon Cheng alleges that the web resources HongKongDAO and BitCuped reported misleading information to crypto investors that the HKD team was led by the chairman and CEO of Hong Kong Exchanges and Clearing (HKEX).
“The SFC has asked Hong Kong ISPs through law enforcement to block the SFC and BitCuped websites. The regulator has also sent a letter to trading platforms demanding that they immediately cease trading in HKD tokens issued by HongKongDAO,” Damon Cheng announced.
The SFC spokesperson did not disclose the number of victims or the amount of monetary damages related to the distribution of HKD tokens