Hong Kong Police Investigate Fun Coffee Investment Scam After HK$1 Billion Losses Reported

Hong Kong authorities are investigating the Fun Coffee investment scheme after police received 115 complaints linked to the project, with estimated losses reportedly exceeding HK$1 billion ($127 million).

The case emerged after the Hong Kong Securities and Futures Commission (SFC) issued a warning in July 2026, identifying the “Fun Coffee GCM Project” as a suspicious investment product and cautioning investors that they could lose their entire investment.

Fun Coffee reportedly promoted itself as a Vietnam-based coffee business, attracting investors with promises of annual returns of up to 222%. Participants were encouraged to download a dedicated application, complete investment-related tasks and transfer funds through virtual assets.

According to local reports, the scheme expanded through referral-based recruitment, with thousands of investors joining through personal networks. Withdrawals were later suspended, leaving some users unable to access their accounts. Several victim groups have reportedly formed, with the total number of affected investors estimated at around 4,000.

Police have referred the case to the Commercial Crime Bureau for further investigation, while authorities continue to examine the structure of the scheme and individuals involved.

The investigation also raised concerns over possible cross-border exposure, as Fun Coffee reportedly operated Korean-language websites and social media channels to attract additional investors outside Hong Kong.

The case adds to growing regulatory scrutiny of high-return investment schemes involving digital assets. Hong Kong authorities have previously taken action against major virtual asset-related fraud cases, including the JPEX incident, which involved thousands of investors and billions of Hong Kong dollars in reported losses.