The Australian Securities and Investments Commission (ASIC) has sued the issuer of the digital currency Qoin Crypto, claiming that the company misled and misled about 80,000 users..
Australia’s corporate watchdog Alleged BPS Financial Limited engaged in unauthorized conduct prior to taking federal action against the company.
Qoin Crypto Creator Faces Lawsuit
Qoin creators could face civil penalties in court for false statements. The company reportedly tricked users into believing that Qoin could be exchanged for other cryptocurrencies or Australian dollars on independent exchanges.
Additionally, digital currencies were portrayed as a medium of exchange for goods and services, and BPS was used by multiple businesses and merchants.
In a statement, BPS Financial Director Tony Wiese said: ABC News“BPS disagrees with ASIC’s position and defends the issue…Our focus is on developing the technology and ecosystem for the Qoin project.”
Meanwhile, regulators consider any representation that the company is a “registered, regulated or licensed” business to be false or misleading.
Sara Court, Deputy Chairman of the Regulatory Board, said: ABC“Despite what BPS has shown in its marketing, the number of Qoin merchants has declined, claiming that there have been periods when Qoin tokens could not be traded through independent exchanges. “
“ASIC is particularly concerned about allegations of misrepresentation that the Qoin Facility is regulated in Australia. “I don’t think so,” she said.
Regulatory action expands in Australia
October 17, Regulators announced what was left three Crypto funds with a 21-day interim stop order. The order included the sale of his Holon by Holon Investments Australia Limited (Holon). Bitcoin fund, holon ethereum Fund, and Holon Filecoin Fund.
The regulator’s problem with this public offering was that the “Target Market Determination (TMD) was not compliant.”
“ASIC does not believe the Fund is suitable for the broad target market defined by the TMD, including investors, which may have medium, high or very high risk and return profiles.”
Tightening action comes as Australian exchange ACX reportedly used investor funds in its operations before being liquidated last year.
The trading activity of exchange operator Blockchain Global came to light in the Supreme Court of Victoria last week. sydney morning herald OK.
Countries also joined the global list Number of countries considering Centrally Backed Digital Currencies (CBDCs) to boost e-AUD transactions as private market investments grow.
Number of new investors in Australia Be expected Entry into the crypto market could exceed 1 million in the next year.
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