ASIC Warns Investors Against Yepbit After Withdrawal Complaints

Australia’s financial regulator has warned investors against Yepbit and Yepbit Exchange, after receiving reports that customers are unable to withdraw funds from the platform.

The Australian Securities and Investments Commission (ASIC) said on August 12 that Yepbit claims to operate a global digital asset and futures trading platform, including in Australia. However, the firm does not hold an Australian Financial Services Licence (AFSL) and is not authorised to provide financial services or advice in the country.

ASIC also warned that Yepbit has allegedly told investors that the regulator froze their funds and that the platform is complying with ASIC audits or regulatory requirements. The regulator said these claims are false, adding that it has not taken action to prevent Yepbit from returning customer funds.

Yepbit is also not listed on the Australian Transaction Reports and Analysis Centre (AUSTRAC) Virtual Asset Service Provider Register (VASPR).

ASIC has previously added several Yepbit websites to its Investor Alert List and used its website takedown powers to remove websites allegedly operated by the platform.

The regulator warned that scammers may falsely claim that ASIC has frozen funds or that holding a company registration certificate means an entity is licensed. ASIC stressed that company registration does not constitute an AFSL and urged investors to independently verify licences through official registers.

ASIC advised consumers to stop communicating or transferring money if they are uncertain about an investment, verify the firm’s licensing and contact details through ASIC and AUSTRAC registers, and contact their bank immediately if they believe they have been scammed.

The regulator also warned investors to remain alert to recovery scams, in which fraudsters promise to help victims recover lost funds in exchange for additional payments.