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Over the last few years, the cryptocurrency market has grown in popularity. Although several countries have served as space guards, some have totally ignored the technology. Singapore was one of the former nations, but Prime Minister Lee Hsien Loong urged its people to be careful when engaging with crypto platforms on Friday.
Loong addressed growing questions regarding the protection of such websites and told people that they would not be covered if they transacted with companies that were not controlled by the country’s monetary authority. He continued, saying:
“If you deal with entities not regulated by the Monetary Authority of Singapore (MAS), remember: You won’t be protected by the laws administered by MAS. Before making any investment, please ensure that it is genuine and legitimate, so that you will not fall prey to scams.”
Though raising questions against such organisations, the Prime Minister requested that one such forum erase his name and picture from their website, which had allegedly been used without Loong’s permission. The website has been known as BitClout, and it allows users to purchase and sell “creator coins” associated with notable and active Twitter users.
According to BitClout, “creator coins” are a modern asset class that “is tied to the prestige of an entity, rather than a business or commodity.” They are, without a doubt, the first mechanism we have as a culture for selling ‘social clout’ as an asset.” This contained the Prime Minister’s biography.
A leading crypto law firm sent a cease and desist letter to the makers of the purported BitClout service, according to Nasdaq.
Nonetheless, this alarm arrives at a time when the demand for digital assets is booming. Many politicians are worried about the welfare of their voters as the amount of scam schemes increases. Singapore, which has been fairly receptive to technologies and creativity, has not shunned crypto services but has issued a reasonable notice to the public in the event that they wind up engaging in a fake offer. Despite being creative, the “creator coins” have raised eyebrows in the community, especially among those who are members of this “Crypto Social Network.”
However, the project’s lead founder, who goes by the alias Diamondhands, previously reported that several major donors, including Andreessen Horowitz, Social Capital, and Coinbase Ventures, are interested.