The Australian Securities and Investments Commission has taken down several websites linked to Yepbit after investors reported being unable to withdraw funds from the digital asset and futures trading platform.
- ASIC has taken down several websites linked to Yepbit after investors reported being unable to withdraw funds from the platform.
- Yepbit allegedly told investors that ASIC had frozen their funds during regulatory checks, a claim the regulator said was false.
- Yepbit does not hold an Australian Financial Services Licence and is not registered with AUSTRAC as a virtual asset service provider.
- ASIC has added warnings about Yepbit to its Investor Alert List and cautioned consumers against dealing with the platform.
ASIC said it received multiple reports from investors who could not retrieve money held through Yepbit, which presents itself as a global trading platform and offers its services to users in Australia. The regulator has now cautioned consumers against dealing with the firm and added warnings to its Investor Alert List.
Yepbit has also told investors that their funds were unavailable because ASIC had frozen the money while the platform underwent regulatory checks or audits, according to the watchdog. ASIC rejected that explanation and said it had taken no action preventing Yepbit from returning investor funds.
The regulator said the statements were false and were being used to deflect withdrawal and refund requests from customers.
Yepbit withdrawal complaints trigger ASIC warning
At the same time as investors reported problems withdrawing money, ASIC found that Yepbit did not hold an Australian Financial Services Licence, or AFSL, authorizing it to provide financial services in the country.
Yepbit was also not registered as a virtual asset service provider with the Australian Transaction Reports and Analysis Centre, according to ASIC.
Under Australia’s current framework, AUSTRAC requires businesses providing covered virtual asset services to register before operating in the country. The financial intelligence agency made its VASP register publicly available on June 30, allowing consumers to check whether a provider is registered and regulated in Australia.
The register covers providers involved in activities including exchanging virtual assets for money, crypto-to-crypto transactions, virtual asset safekeeping and certain transfers conducted for customers. AUSTRAC can refuse, suspend or cancel registrations where a provider poses an unacceptable money laundering, terrorism financing or other serious crime risk.
ASIC urged consumers to independently check whether an investment business claiming to provide regulated financial services holds the required licence. A company registration or Australian Company Number by itself does not mean a business holds an AFSL, the regulator said.
Consumers can verify licence information through ASIC’s professional registers and check its Investor Alert List for businesses that have raised concerns. The watchdog said investment offers that cannot be verified through trusted sources, or that encourage customers to avoid licensed professionals, should be treated with extreme caution.
ASIC says Yepbit falsely blamed the regulator
Yepbit’s reported explanation for the withdrawal delays has become a central part of ASIC’s warning because the platform allegedly invoked the regulator itself when responding to customers seeking their money.
According to ASIC, Yepbit told investors that the watchdog had frozen funds while regulatory requirements or audits were completed. The regulator said no such freeze had been imposed.
ASIC also explained that when it does take formal action to freeze funds, it announces the measure through a media release. The watchdog warned that entities can use claims involving regulators or other official bodies to shift responsibility for withdrawal problems while continuing to seek money from investors.
Such tactics fit patterns ASIC has identified in other fraudulent investment operations targeting Australian consumers.
In May, crypto.news reported that ASIC had warned about fake crypto trading platforms promoted through WhatsApp and other messaging groups. The platforms displayed fabricated trades and profits before users attempting withdrawals were asked to pay additional fees to release their supposed assets.
ASIC said in that warning that deposited money went directly to scammers rather than into genuine trades. The regulator also flagged recovery scams, in which people who have already lost money are approached again with offers to retrieve their funds in exchange for another payment.
The May warning placed particular attention on younger Australians. ASIC data cited in the report showed that 23% of Australians aged 18 to 28 held crypto, while 41% said they had received direct online pitches involving crypto investments.
ASIC uses website takedowns against Yepbit
As part of its response to Yepbit, ASIC said it had used its website disruption capability to remove several websites purportedly operated by the platform.
The regulator has also placed warnings about Yepbit on its Investor Alert List and said it continues to work with other government agencies to remove harmful websites.
Website takedowns have become one of ASIC’s recurring tools against suspected investment scams. In April 2025, previous coverage detailed a Federal Court order winding up 95 companies that ASIC suspected were connected to coordinated investment and crypto-related “pig butchering” schemes.
Liquidators handling the 95 companies had received nearly 1,500 claims from alleged victims across 14 countries, with reported losses exceeding $35.8 million. ASIC said many websites and apps connected with the companies were designed to resemble legitimate trading services while funds were instead directed to accounts controlled by the operators.
At the time, ASIC said it was taking down roughly 130 scam websites each week and had removed more than 10,000 malicious sites, including more than 7,200 fake investment platforms and 1,500 phishing sites.
The regulator had already been using the same disruption system for crypto scams before that enforcement action. In August 2024, ASIC reported removing more than 7,300 phishing and investment scam websites since July 2023, including 615 crypto investment scam sites. Investment scams had caused A$1.3 billion in reported Australian losses during 2023.
Australia tightens rules for crypto service providers
Yepbit’s lack of an AFSL also comes while Australian regulators are changing how crypto businesses fall under financial services and anti-money laundering rules.
In June, crypto.news covered ASIC’s decision to extend temporary licensing relief for certain crypto businesses until Sept. 30. The measure gave eligible companies additional time to seek Australian Financial Services licences and other required authorizations under ASIC’s updated approach to digital asset businesses.
That temporary relief applies to businesses working through the licensing process and does not amount to an exemption for platforms falsely claiming regulatory status. ASIC’s Yepbit warning specifically states that the platform does not hold an AFSL.
Australia has separately expanded its anti-money laundering framework for virtual asset businesses. AUSTRAC said updated AML and counter-terrorism financing laws took effect on March 31, with additional obligations for newly regulated virtual asset services applying from July 1.
Providers of newly regulated virtual asset services were required to apply for enrolment and registration by July 29, while businesses already registered as digital currency exchange providers were automatically moved into the VASP framework and required to update their information.
AUSTRAC says businesses providing virtual asset services in Australia must be registered, and its public register allows users to search providers by legal name, trading name, Australian Company Number or Australian Business Number.
ASIC, meanwhile, advised investors dealing with offers such as Yepbit to verify an AFSL through its own registers rather than relying on certificates, company registration details or claims made by the platform itself. The regulator said a certificate of incorporation or an Australian Company Number does not establish that a company is licensed to provide financial services.
