The Securities and Futures Commission (SFC) issued a public warning regarding an entity operating under the name of Proxinex for suspected virtual asset-related fraud.

Investors have reported significant difficulties in withdrawing virtual assets from Proxinex, only to be informed that their “accounts did not exist” at all.

The SFC also suspects that Proxinex recruited an agent to lure investors into depositing funds via dating apps. This agent may have fabricated documents purportedly issued by a local financial regulator and a financial institution to enhance the agent’s profile.

On 29 July 2024, the SFC added Proxinex and its website to the Suspicious Virtual Asset Trading Platforms Alert List. While the Proxinex website is currently inaccessible, the public should remain cautious of websites with similar domain names that may be created.

Online investment scams can involve any type of asset and can be perpetrated through multiple channels, leading to substantial investor losses. Therefore, the SFC advises investors to be cautious when making investment decisions.

Featured image credit: Edited from Freepik