The Australian Securities and Investments Commission (ASIC) has initiated legal action against BPS Financial Pty Ltd (BPS) for engaging in unlicensed conduct and making misleading representations about the crypto token Qoin. according to In the October 25th ASIC press release.
Qoin Facility is a non-cash payment facility opened in January 2020.
Qoin can be bought and sold exclusively through the Block Trade Exchange in exchange for Australian dollars at a pre-determined price. or used to purchase goods or services.
Both Qoin and BTX are owned by BPS Financial Pty Ltd.
Misrepresentation and unauthorized conduct
Regulators said the company was false, misleading, and misleading when it informed more than 79,000 individuals and entities issued in Qoin tokens that their digital currency could be exchanged for cryptocurrencies or Australian dollars through independent exchanges. or made deceptive statements.
This is against the backdrop of the ever-increasing restrictions placed on the BTX Exchange exchange process over time.
BPS has also released false statements that mislead consumers into believing that they can purchase goods and services using Qoin tokens.
BPS also operates without compliance with the Financial Services Act and the applications used for transactions are not registered, regulated or approved in Australia. BPS claims to be an ASIC.
Tony Wiese, director of BPS Financial Limited, said in a statement that he “disagrees with ASIC’s position and defends the matter.”
“Our focus is on developing the technology and ecosystem for the Qoin project.”
ASIC said the maximum penalty could run into millions of dollars and would seek an injunction in federal court to stop BPS from promoting Qoin.
A trial date for the first case management hearing has not yet been scheduled.