The HKMA and the police force issued a joint statement on Friday (June 6) that the information on the above-mentioned platform websites is content prohibited by the Internet Code of Practice. In addition to the risk of possible financial losses, the...
The HKMA and the police force issued a joint statement on Friday (June 6) that the information on the above-mentioned platform websites is content prohibited by the Internet Code of Practice.
"In addition to the risk of possible financial losses, the public may also face difficulties during the period of claiming compensation from overseas operators. Online trading platforms may also require payment of transactions through credit cards and transfer cards, which further increases the risk of unauthorized credit card transactions."
Article 82 of the Act stipulates that if you want to engage in regulated activities such as the sale of capital market products, you must hold a capital market service license.
The Monetary Authority of Singapore (MAS) and the Singapore Police Force (SPF) will block the website usage rights of the unlicensed trading platforms Octa and XM from June 20. In other words, after the lockdown measures take effect, customers will not be able to access the websites of the above-mentioned platforms through Singapore Internet service providers.
These platforms provide and promote services to Singapore customers without permission, such as leveraged foreign exchange trading, commodities, indexes and stocks, which have violated the Securities and Futures Act 2001.
XM is operated by XM Global. It has been founded for 15 years and has more than 15 million users.
Octa is operated by Octa Markets and Uni Fin Invest. The website shows that there are more than 40 million trading accounts opened on the platform, and users spanning more than 180 countries.
The ban was also extended to entities operating outside Singapore, and if the latter promotes or sells products to Chinese people, or if a large number of Chinese people use their products or services, it will also be subject to the ban. Most unregulated online trading platforms are located outside Singapore, and their operational credibility is difficult to verify, so the risk of fraud is extremely high.The authorities call on Chinese people to trade only on trading platforms that hold capital market service licenses and are recognized by the HKMA.
