The Australian regulator has suspended all 3 Gemini-run crypto funds from Sydney-based Holon Investments.
Australia’s financial services and market regulator has suspended three crypto funds offered to individual investors by Sydney-based asset manager Holon Investments for 21 days, according to a press release.
Holon Investment’s Funds Temporarily Suspended
This decision by the Australian regulator was taken by the Australian Securities and Investment Commission (ASIC) due to the incompatible target market determinations (TMD) of Holon Investments. ASIC said it was concerned about whether Holon Investments had appropriately evaluated the characteristics and risks of the funds when identifying its target markets.
The regulator considers Holon’s crypto funds unsuitable for the broad target market defined in their TMDs, which includes investors from a potentially medium, high or very high risk and return profile.
The suspension applies to Holon’s Bitcoin (BTC), Ethereum (ETH) and Filecon (FIL) funds. All three funds were managed by cryptocurrency exchange Gemini.
The press release included the following statements on the subject:
“Final stop orders will be placed on funds if ASIC’s concerns are not addressed in a timely manner. Holon will have the opportunity to file an application with ASIC before any final stop orders are made.”
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