Australian BPS Financial Fined $9.9M for Deceptive Qoin Advertising
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
Source: Coinmarketcap
Updated: 1h ago- Significant Penalty: The Australian Federal Court imposed a $9.9 million (AUD $14 million) fine on BPS Financial for systematically misleading consumers in its Qoin wallet advertising, marking a major regulatory action against the crypto industry.
- False Advertising Exposed: The court found that BPS Financial falsely claimed its wallet was accepted by a wide network of merchants and that users could easily exchange Qoin tokens for fiat or other cryptocurrencies, creating significant liquidity risks for consumers.
- Strengthened Regulatory Trend: This ruling underscores ASIC's stringent oversight of the crypto sector, emphasizing that all advertising claims must be accurate and verifiable, prompting other crypto companies to enhance compliance reviews to avoid similar legal repercussions.
- Consumer Protection Precedent: The judgment provides a clear reference point for consumer protection, encouraging users to conduct due diligence before investing, ensuring a better understanding of crypto assets and associated risks, thereby enhancing transparency and trust across the industry.
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
