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- NGS Crypto rebrands to Hiddup amid an ASIC investigation involving $41 million owed to investors.
- ASIC alleges NGS Crypto operated without proper licenses and misled investors about crypto mining packages.
Australian cryptocurrency company NGS Crypto has rebranded itself as “Hiddup” amid an ongoing investigation by the Australian Securities and Investments Commission (ASIC). The investigation involves allegations of $41 million being stolen from investors.
When NGS Crypto announced the rebrand, it mentioned “trademark dispute” as the reason. Meanwhile, the ASIC aims to recover millions in interest owed. Its lawsuit targets NGS Crypto Pty Ltd, NGS Digital Pty Ltd, and NGS Group Ltd, all of which have entered liquidation.
ASIC alleges that NGS Crypto and its related entities violated Australian regulations by offering financial services without proper licensing.
They reportedly encouraged Australians to create self-managed superannuation funds and convert these funds into crypto for investment in mining packages with guaranteed returns. According to ASIC, over 450 Australians invested through these schemes.
The financial watchdog is currently fighting for interim and final injunctions to stop NGS’s operations. As part of the ongoing proceedings, the Federal Court has appointed McGrathNicol, an advisory and restructuring firm, as receivers to help creditors recover funds.
Furthermore, the authorities have seized the passport of one of the company’s principals, Mendham, as they search for the missing $41 million.
Meanwhile, the Australian Securities Exchange (ASX) has approved its first spot Bitcoin exchange-traded fund (ETF). This allows Australian investors to gain exposure to Bitcoin through a regulated and transparent investment vehicle. VanEck issued the VanEck Bitcoin ETF (VBTC) in Australia on June 20.
Jai Hamid
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Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
Jai Hamid
Jai Hamid has been covering crypto, stock markets, technology, the global economy, and the geopolitical events that affect markets for the past 6 years. She has worked with blockchain-focused publications including AMB Crypto, Coin Edition, and CryptoTale on market analyses, major companies, regulation, and macroeconomic trends. She has attended London School of Journalism and thrice shared crypto market insights on one of Africa’s top TV networks.
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