The Floki Inu team has addressed concerns from the Securities and Futures Commission (SFC) in Hong Kong by taking proactive steps. The SFC had listed the Floki Inu staking program as a potentially suspicious investment product, prompting the team to issue a statement detailing their actions to comply with regulatory standards.
Floki Inu’s Response to SFC Concerns
In response to the SFC’s inclusion of their staking program in a list of suspicious activities, the Floki Inu team has implemented measures to mitigate regulatory concerns. They have blocked access to the staking program for Hong Kong users, issued warnings, and halted offline marketing in the region. The team assures that no Hong Kong users have participated in the staking program.
The team has clarified that the Floki Inu staking program offers a high Annual Percentage Yield (APY) through a unique reward system associated with TokenFi. They highlight that their strategy is decentralized, community-focused, and independent of venture capital funding or pre-sales.
The SFC’s initial warning in December 2022 highlighted the risks associated with unregulated cryptocurrency platforms. The commission advised investors to exercise caution with digital assets marketed as deposit or savings products, emphasizing the lack of regulatory protection.
Overall, the Floki Inu team’s swift action following the SFC’s warning demonstrates their commitment to regulatory compliance and investor protection in the volatile cryptocurrency market.