Kanga Exchange was established as a Polish cryptocurrency exchange with the approval of the Polish Financial Supervisory Authority. Giving false information has serious consequences.
UOKiK charges Good Solution Investments Limited, the operator of the Kanga Exchange cryptocurrency exchange. It is about spreading false information and misleading customers that it has Polish roots. Both information were available on the exchange’s website. On it you can read that the company’s “business model” was approved by the Polish Financial Supervisory Authority, and the exchange itself was “Polish Cryptocurrency Exchange”. As it soon turns out, Good Solution Investments Limited is based in Belize. According to UOKiK, the fact that the person authorized to represent the company is a Polish citizen does not mean that the exchange is of Polish origin. There is also no approval by the KNF, as long as information is not communicated in this way that the Commission warns against the company’s activities.
Cryptocurrency exchange Kanga Exchange has never received the approval it claims to have. Furthermore, its activities are not subject to supervision or assessment by the Polish Financial Supervisory Authority. Providing such information may mislead consumers about the legality and safety of the actions taken and illegally establish the entrepreneur’s authenticity against others.
– says UOKiK president Tomasz Krostny.
Neither Polish nor approved by the Polish Financial Supervisory Authority. Kanga exchange with UOKiK accusations (and not only)
What are the implications for Kang Exchange owners? Fines up to 10% of annual turnover. It sounds dangerous, but in recent months we have had situations where UOKiK imposed similar fines, which actually turned out to be ridiculously low. Opinion.pro and SN Marketing have been fined by the President of the Office of Competition and Consumer Protection for selling and posting fake reviews and ratings of online stores. The first of them was fined 40 thousand. PLN, the second 30 thousand. zloty On the other hand, Allegro has to pay a fine of more than PLN 200 million for anti-competitive practices.
Interestingly, the Warsaw District Prosecutor’s Office is conducting an investigation into possible criminal activity by Good Solution Investmenst Limited. It is carried out on the basis of a notification of suspicion of committing a crime under Art. 178 of the Law on Trading in Financial Instruments.
Anyone who engages in financial instruments trading without the required permit or authorization contained in separate regulations or without the authority to do so in another manner provided for by law shall be subject to a fine of up to PLN. 5,000,000.
The company is also on the warning list of the Polish Financial Supervisory Authority.
This is not the first time UOKiK has tracked, investigated and taken action against entrepreneurs running cryptocurrency exchanges or encouraging “modern” forms of investment. Last year there was the decision regarding the practice of Coincasso OÜ, which violates the collective interests of consumers. A fine of PLN 48,768 was applied to the company. The case against Selfmaker Smart Solutions from Dubai and Selfmaker Technology from Lodz is also pending. The case concerns a situation where companies lured consumers with profit shares in exchange for investments in the Selfmaker Smart Solutions token.