Macau issued a warning to residents over cryptocurrencies, reminding them about the potential for fraud and the fact they are not legal tender in the autonomous region on the south coast of China.
The ANCM posted a statement on its website after news reports emerged this month that Macau Dragon Group, a firm associated with a former gangster, had employed British company Cambridge Analytica to promote Dragon Coin, a new cryptocurrency designed to help gamblers to transfer money to Macau casinos.
The statement said:
"Recently, the media reported that a Macau firm was involved in an ICO recently in Macau. The Macau Monetary Authority reminds local residents that virtual currencies are a 'virtual commodity' and not legal currencies or financial instruments. Attention should be paid to preventing fraud or being exploited for criminal activities."
It added:
"The Monetary Authority of Macau reiterates that any institution that provides regulated financial services… such as currency exchange, cross-border fund transfer or the provision of financial trading platforms violates the relevant provisions of the Financial System Act."
The statement added that, in Macau, it is forbidden for banks or payment institutions to provide services to cryptocurrency exchanges.