Eight websites with the name of the exchange included in the domain name were found to be connected to the fraudulent organisation masquerading as the cryptocurrency exchange MEXC by the Hong Kong SFC.
A warning has been issued by the Hong Kong Police force and the Securities and Futures Commission (SFC) about a fake organisation that is impersonating the cryptocurrency exchange MEXC. It is stated that the imposter is stealing money by tricking prospective investors.
The SFC recently announced that, as part of its larger efforts to keep an eye on and look into virtual asset trading providers (VATPs) involved in illegal activity, it is working with the police in a joint operation.
According to the regulator, the fake organisation operating under MEXC is deceiving investors into placing money into its bank account in anticipation of making investments, only to have problems when trying to take the money out later.
Victims who were interested in purchasing cryptocurrency were directed to MEXC-run websites through these chat rooms. After being urged to put money into specific bank accounts for investment purposes, the victims complained that they were having trouble withdrawing their money.
Additionally, eight websites that were allegedly connected to the bogus organisation were found by the SFC. These websites, like “mexczx.icu” and “mexczx.co,” all have MEXC in their domain names. The statement warns that “the public should beware of websites with similar domain names which may be continuously created by MEXC.”
In order to assist the public in identifying possibly uncontrolled VATPs in Hong Kong, the SFC said in September 2023 that it will publish a list of VATPs that are licenced, deemed licenced, closed down, and application-pending.
This occurs in the midst of heightened scrutiny surrounding recent enforcement decisions made by the MEXC exchange itself.
Reports surfaced in December 2023 alleging that MEXC had frozen the accounts of multiple dealers and taken their money. The exchange asserts that “abnormal trading activities” were the driving force behind the actions.
The anonymous trader Vida even claimed on X that he lost $92,000 in Tether tokens after making profits on several trades in the MEXC futures market over the course of 15 days.