Hong Kong police have now received 255 reports linked to the alleged Fun Coffee cryptocurrency investment scam, pushing total reported losses to about HK$104 million (approximately $13.3 million). The updated figures, released on August 5, represent an increase of 30 complaints and a HK$10 million jump in losses within a single day.
Authorities disclosed that six individuals – one man and five women aged between 51 and 64 – were arrested in Hong Kong on suspicion of conspiracy to defraud, and have since been released on bail pending further investigation. Macau judicial police separately detained two women on aggravated fraud charges in connection with nine cases involving around MOP3.6 million.
The scheme, which operated under names like Fun Coffee GCM, presented itself as a Vietnam-based coffee business with over $1 billion in capital, gene research, and high-tech equipment. Investors were instructed to fund plans using Tether’s USDT stablecoin and were promised annual returns ranging from 197% to 278%, depending on the chosen deposit tier. One product offered a 10-day deposit of about 10,800 USDT for a profit of roughly 680 USDT, implying an annualized return of 230%. The platform also offered deposit bonuses, referral rewards, and daily check-in incentives to encourage larger and repeated deposits.
The scam collapsed on July 20, 2026, when the mobile application abruptly stopped functioning, withdrawals became impossible, customer service went silent, and its physical offices were vacated. Investigators believe the operation followed a classic Ponzi structure, using new investors’ funds to pay earlier participants. The largest individual loss identified so far is that of a 51-year-old victim who reportedly lost HK$9.63 million.
Red flags had surfaced earlier: in July 2026, the Hong Kong Securities and Futures Commission (SFC) added Fun Coffee to its list of suspicious investment products, and Vietnamese state media reported signs of a Ponzi scheme in May 2026. The case adds to a wider trend of crypto fraud in Hong Kong, where online investment scams cost victims over HK$3.58 billion in 2025, with about one-third involving virtual assets. Police continue to trace funds, examine seized devices, and collaborate with Macao and overseas agencies.
