{"id":8042,"date":"2025-08-18T06:48:10","date_gmt":"2025-08-18T06:48:10","guid":{"rendered":"https:\/\/bitunikey.com\/news\/hong-kong-sfc-says-fraud-risks-on-the-rise-after-stablecoin-law\/"},"modified":"2025-08-18T06:48:32","modified_gmt":"2025-08-18T06:48:32","slug":"hong-kong-sfc-says-fraud-risks-on-the-rise-after-stablecoin-law","status":"publish","type":"post","link":"https:\/\/bitunikey.com\/news\/hong-kong-sfc-says-fraud-risks-on-the-rise-after-stablecoin-law\/","title":{"rendered":"Hong Kong SFC says fraud risks on the rise after stablecoin law"},"content":{"rendered":"<div class=\"post-detail__content blocks\">\n<p class=\"is-style-lead\">Hong Kong SFC regulators have issued a statement, warning investors to exercise caution as trading risks and fraud are on the rise following the implementation of Stablecoin Ordinance on August 1.<\/p>\n<div id=\"cn-block-summary-block_0438d883c102d36558389f9a5407475f\" class=\"cn-block-summary\">\n<div class=\"cn-block-summary__nav tabs\">\n        <span class=\"tabs__item is-selected\">Summary<\/span>\n    <\/div>\n<div class=\"cn-block-summary__content\">\n<ul class=\"wp-block-list\">\n<li>Hong Kong SFC regulators warn investors to stay vigilant as market volatility and fraud cases increase following the implementation of new stablecoin laws.<\/li>\n<li>Crypto-related stocks like Guotai Junan and OSL have enjoyed significant boosts in the lead-up to Stablecoin Ordinance.<\/li>\n<\/ul><\/div>\n<\/div>\n<p><!-- .cn-block-summary --><\/p>\n<p>According to a <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/www.zhitongcaijing.com\/content\/detail\/1330700.html\" target=\"_blank\">report<\/a> by local media Zhitong Finance, Hong Kong SFC regulators have observes that market reaction towards Stablecoin Ordinance has been \u201centhusiastic\u201d as of late. However, this also means that there is an increase in fraud risk following the law\u2019s implementation.<\/p>\n<p>As a result, the SFC and the Hong Kong Monetary Authority recently issued a joint statement expressing concern about market volatility related to stablecoins and urging the public to tread with caution.<\/p>\n<p>Although the agencies did not mention the exact number of fraud complaints received post-Stablecoin Ordinance, it was revealed that the first half of the year has seen 265 complaints related to fraud and other digital asset-related crimes. This has remained consistent for the past two years, hinting that 2025 may see the fraud complaints exceeding the annual number of complaints.<\/p>\n<p>On August 18, Executive Director of the region\u2019s Intermediaries Department of the Securities and Futures Commission, Ye Zhiheng, urged investors to remain cautious and  maintain a healthy level of rationality. He observed that stocks of companies that express interest in applying for a stablecoin issuer license would usually see an increase in their stock prices.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p>\n<h2 class=\"wp-block-heading\">Hong Kong SFC spikes interest in stablecoins<\/h2>\n<p>In the past month, crypto-related stocks have surged in the lead up to the implementation of Hong Kong Stablecoin Ordinance. For instance, this trend is evident in Hong Kong-listed Chinese brokerage firm, Guotai Junan, which saw its shares <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/uk.finance.yahoo.com\/chart\/1788.HK#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\" target=\"_blank\">jump<\/a> 16% in late-July right up to early August when it dipped.<\/p>\n<p>Even though Guotai Junan has never explicitly declared an interest in stablecoin issuance, its position as a crypto firm has attracted traders to invest in the stock as confidence for the crypto sector grew in anticipation to the stablecoin laws. This could explain the rally and the dip that immediately followed August 1.<\/p>\n<figure class=\"wp-block-image size-full\"><figcaption class=\"wp-element-caption\">Price chart for Guotai Junan\u2019s stock after Hong Kong\u2019s Stablecoin Ordinance | Source: <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/uk.finance.yahoo.com\/chart\/1788.HK#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\" target=\"_blank\">Yahoo Finance<\/a><\/figcaption><\/figure>\n<p>In addition, Hong Kong\u2019s first licensed crypto exchange OSL <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/www.google.com\/finance\/quote\/OSL:ASX?sa=X&amp;sqi=2&amp;ved=2ahUKEwjourrhy5OPAxUodUEAHaYoB64Q3ecFegQIExAT&amp;window=5D\" target=\"_blank\">saw<\/a> significant gains; with a more than 12% rise in July after it was revealed that the firm would allocate a large chunk of the $300 million fundraising to delve into stablecoins as well as global expansion.<\/p>\n<p>Since early August, the stock price for OSL has reached a peak of $1.20 on the ASX stock exchange. Though, the share price has also suffered from market volatility that has even seen a plummet to $1.12 not long after reaching its monthly peak. The firm\u2019s market cap has also gone up to as much as $14.11 million.<\/p>\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1533\" height=\"842\" src=\"https:\/\/bitunikey.com\/news\/wp-content\/uploads\/2025\/08\/1755499690_557_Hong-Kong-SFC-says-fraud-risks-on-the-rise-after.png\" alt=\"Price chart for OSL in August 2025 so far | Source: Google Finance\" class=\"wp-image-14406217\"><figcaption class=\"wp-element-caption\">Price chart for OSL in August 2025 so far | Source: <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/www.google.com\/finance\/quote\/OSL:ASX?sa=X&amp;sqi=2&amp;ved=2ahUKEwjourrhy5OPAxUodUEAHaYoB64Q3ecFegQIExAT&amp;window=5D\" target=\"_blank\">Google Finance<\/a><\/figcaption><\/figure>\n<p>    <!-- .cn-block-related-link --><\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Hong Kong SFC regulators have issued a statement, warning investors to exercise caution as trading risks and fraud are on the rise following the implementation of Stablecoin Ordinance on August&hellip;<\/p>\n","protected":false},"author":1,"featured_media":8043,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-8042","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/8042","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/comments?post=8042"}],"version-history":[{"count":1,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/8042\/revisions"}],"predecessor-version":[{"id":8044,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/8042\/revisions\/8044"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media\/8043"}],"wp:attachment":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media?parent=8042"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/categories?post=8042"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/tags?post=8042"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}