Hong Kong’s SFC has blacklisted fake crypto exchange websites.
Hong Kong's financial regulator, the Securities and Futures Commission (SFC), has identified and banned fake websites impersonating major domestic cryptocurrency exchanges.
On March 4, the SFC issued an official warning against several dubious websites pretending to be two licensed crypto trading platforms. Cybercriminals have created several fake domains impersonating two licensed exchanges in Hong Kong, including OSL Digital Securities and Hash Blockchain Limited, also known as HashKey.
According to the announcement, the SFC banned a total of 6 websites, including hskexpro.com, hskex.com, hskexs.com, hskexit.com, hskexit.com, oslexu.com and oslint.com. The moves followed reports of withdrawal problems and high fees and withdrawal commissions.
At the SFC's request, the Hong Kong Police Force took action to block access to the relevant websites.
The websites are listed on the SFC's official crypto alert list along with other fake websites impersonating other crypto exchanges such as MEXC. The SFC previously blacklisted eight domains impersonating MEXC on February 9.
The SFC urges investors to verify trading platforms by publicly licensed persons and registered institutions, as well as by using the list of licensed virtual assets trading platforms, including their official websites.
Investors should refrain from sending money or making any transactions before verifying the identity of the partner, the regulator emphasized.
According to Bartos Barwikowski, a layer-1 security expert at blockchain security firm Hacken, it may not be that easy to determine whether this or that website is genuine or fake. He pointed out that it can be very difficult, especially when the user enters the website for the first time.
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“Of course, you can always check on the SEC website if the URL is correct, but less than 1% of people do,” Barwikowski explained. He advised users to rely on trusted third parties instead of relying on search engines or social media channels, such as Reddit, as the results can easily be hijacked by scammers.
Barwikowski outlines two tips for users to stay away from fake websites.
“Use mobile apps instead of websites, they are much harder to hack. Incidentally, they should have a lot of reviews before you trust them. Look at a trusted third party website – when it comes to exchanges, it could be a government website or cer.live.”
The news comes a few days after the SFC received the final applications from crypto exchanges in the last round of the licensing cycle on February 29. Crypto exchanges that are not registered to submit applications on this date must leave the region within three months.
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