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ASIC warns users of rebranding of investigated cryptocurrency firm
Australia’s financial regulator, ASIC, has warned investors that NGS crypto is rebranding to Hiddup following an investigation into the company. The company has changed its branding as an investigation into its affairs continues. Australian regulators are looking to protect investors and users in line with global efforts.
ASIC Warns Users About NGS Encryption
The Australian Securities and Investments Commission has taken note of the change to the website and related details
NGS Encryption to Hiddup. This comes after regulators opened investigations into the company, its employees and other representatives. In a recent press release, ASIC warned the public that the website redirects to Hiddup.
“Effective July 1, 2024, the NGS Crypto website https://ngscrypto.com/ redirects to the website https://hiddup.com/. The Hiddup website states that NGS Crypto has rebranded to Hiddup. ASIC will update this webpage when important steps are taken on this matter.”
ASIC has launched an investigation into the company and associated companies, NGS Crypto Pty LtdNGS Digital Pty LTD and NGS Group Limited. This investigation extends to staff and other representatives, as ASIC seeks to protect investors. ASIC is investigating concerns about mismanagement of funds received from Australian investors, along with the operation of a financial company without a proper license, the Australian Finance Services License. The company is said to owe investors approximately $41 million at the time of the investigation.
ASIC asked the court to order a suspension of digital assets belonging to the company and its directors; the Federal Court upheld the regulator’s request and subsequently appointed receivers of the assets.
The Cryptocurrency Landscape in Australia
The company has stepped up efforts to have a broader veto or regulation of assets, including licensing, development and taxation. According to regulators, this follows global standards to protect local financial markets. Recently, the country has sought to address tax evaders requesting personal data and other information from cryptocurrency exchanges. Cryptocurrency users remain divided over some tax requirements based on their utilities.
Read also: German Lawmaker Wants Government to Hold Bitcoin, Not Sell It
David is a financial news contributor with 4 years of experience in Blockchain and cryptocurrency. He is interested in learning about emerging technologies and has an eye for breaking news. Keeping up to date with trends, David has written in several niches including regulation, partnerships, cryptocurrency, stocks, NFTs, etc. Away from the financial markets, David enjoys cycling and horseback riding.