Hong Kong cryptocurrency platform Kikitrade heeds SFC warning, to stop local users access to savings products
- Kikitrade, which dubs itself as a social investment platform, will terminate access to its ‘flexible savings’ and ‘locked savings’ products from December 30
- The move was ‘in response to the regulatory system regarding assets in the form of digital tokens’, co-founder and CEO Sean Tao says
Hong Kong-based cryptocurrency platform Kikitrade said it will stop users in the city from buying its savings products, after the securities regulator warned of risks related to digital assets.
The social investment platform will terminate access to its “flexible savings” and “locked savings” products on December 30, it said in a statement on Thursday.
“We’ve decided to cease savings product subscription in Hong Kong after careful consideration and communication with the SFC [Securities and Futures Commission],” said Sean Tao, the co-founder and CEO of Kikitrade.
The move was “in response to the regulatory system regarding assets in the form of digital tokens” as mentioned this week by the SFC, he added.
This comes two days after the SFC issued a statement warning investors that virtual, or cryptocurrency, assets are mostly unregulated and carry high potential risks.