Hong Kong Lawmaker Calls for Action Against Cryptocurrency Scam

A multi-level marketing scheme disguised as a legitimate coffee business has been exposed in Hong Kong. The 'Fun Coffee' investment scam lured victims with promises of up to 222% annual returns through investments in coffee technology and artificial intelligence.

The scheme, which was flagged by the Securities and Futures Commission in July, claimed to offer exceptionally high returns on a cryptocurrency platform. Victims were persuaded to become 'agents' by recruiting new members and earning commission, fueling its rapid expansion.

Eight suspects have been arrested - six in Hong Kong and two in Macau - with police confirming the scale of the operation after its mobile app went offline last month. The victims now number over 1,000, with losses exceeding HK$100 million.