SFC’s Yip Chi-hang warns of stock spikes linked to stablecoin license applications and urges caution amid 265 virtual asset complaints this year.
On August 18, Yip Chi-hang, Executive Director of the Licensing Department at Hong Kong’s SFC, warned investors to stay rational as some companies see share price gains after announcing stablecoin license applications. He cautioned that these announcements could be exploited for market manipulation and scams. In the first half of the year, the SFC received 265 complaints about virtual asset transactions, predominantly involving overseas cases of fraud, platform misconduct, or frozen funds. Yip also advised against trading on unlicensed platforms due to significant risks.