Australian Court Shuts Down Unlicensed Crypto Retirement Firm NGS Crypto
An Australian federal court has ordered NGS Crypto, an unlicensed digital asset platform, to cease operations immediately. The Gold Coast-linked firm marketed crypto-based retirement solutions with promises of 16% annual fixed returns, luring over 450 investors over six years.
Justice Berna Collier ruled the company violated financial services licensing requirements and consumer protection laws, posing significant risks to retail investors. Administrators allegedly encouraged clients to transfer retirement savings into the scheme via self-managed accounts.
The Australian Securities and Investments Commission flagged the operation's unsustainable yield claims as immediate red flags. This enforcement action underscores regulators' growing scrutiny of crypto investment products targeting retirement funds.
