Most financial regulators around the world have already warned that virtual currencies and ICO primary operations are at high risk. But Hong Kong goes even further.
Local authorities have launched a media campaign to clarify the dangers involved in investing in cryptolight. This includes TV clips and messages published in printed publications in the country, TechCrunch transmits.
Last September, local authorities voiced concerns about the boom of ICO procedures. Logically, amid the fact that in the past 2017, funding was raised through this new facility, amounting to nearly $ 4 billion.
The speed with which ICO has gained popularity is due to the complete lack of regulation that allows tens of millions of inputs to be collected within a few minutes.
However, this can often mean fraud. Consumers invest in the new super block project, after which the team buys the money and breaks the saddle. This is particularly possible due to the lack of regulation and the anonymity of virtual currency transactions.
Cryptocurrency are highly speculative and associated with various types of risk. Their prices are prone to significant fluctuations as a result of speculative activities. Investors may suffer significant losses as a result of volatile prices, "says investor warnings.
The campaign will be launched on radio and print media this week. Some websites already have banners on the topic. The TV campaign is scheduled for March, with a social networking video.