Here’s Why The Australian Police Failed To Act On The Hyperverse Scam For Two Years
Latest News News

Here’s Why The Australian Police Failed To Act On The HyperVerse Scam For Two Years

  • Australian police failed to act on the HyperVerse scam for two years, here’s why.

The HyperVerse crypto Ponzi scheme that cost investors $1.7 billion was reportedly passed between Australian regulators and police for two years before any action was taken, according to The Guardian.

It was reported this week that HyperVerse, which promised lucrative returns but relied on funds taken from investors, was first referred by the Australian Securities and Investments Commission (ASIC) to the country’s Victoria police in 2020 for “possible fraud offenses.”

However, it wasn’t until two years later in January 2022, that Victoria Police referred it back to ASIC. 

A police spokesperson told the Guardian it took until 2021 to assess the case and that it was eventually decided that ASIC was “best placed to look at it further.”

See Alslo: BEWARE! Scammers Now Target Victims With Real Crypto In New Address Poisoning Attack

HyperVerse Police Verdict Took “Some Time”

When asked why it took so long to process the case, police said it needed to be assessed if any crime had been committed and if the police should handle it. 

“Depending on circumstances, this can take some time,” the spokesperson said.

According to an ASIC spokesperson, “understood that the matter was under active consideration by VicPol. VicPol is ultimately best placed to explain their decision to refer the matter back to ASIC.” 

The operation was known as HyperCapital when the first referral was made but in 2020, it rebranded to HyperFund, eventually becoming HyperVerse in December 2021.

Global Blockchain, another affiliate scam run by HyperVerse founders Sam Lee and Ryan Xu, collapsed in this same period while owing investors AUS$58 million ($37.7 million). 

ASIC was previously criticized in December 2023 for failing to publish any warnings relating to HyperVerse.

#Binance #WRITE2EARN

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Crypto market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.