Hong Kong Police admitted that losses from the collapse of the Fun Coffee cryptocurrency scheme may be higher than initially thought.
The updated figure of HKD 104 million (approximately USD 13 million) began to appear in official statements and local reports a day after Hong Kong police coordinated raids with authorities in neighboring cities, including Macau.
So far, the raids in Kowloon Bay, Tsim Sha Tsui, Mong Kok, and Quarry Bay have seized approximately HKD 147,000 in cash, 16 bank cards, six phones, and about HKD 610,000 believed to be proceeds of crime.
More Victims of the Fun Coffee Cafe Network Fraud Emerge
As of August 4, Hong Kong police had recorded damages of about HKD 94 million from 225 reports. By Wednesday evening local time, 30 new reports had come in, bringing the damage total to HKD 255 million and the Hong Kong dollar amount jumping to HKD 104 million.
Macau's Judicial Police are also working closely with the police, and according to reports from the city, the total number of claims filed is 264, with projected damages exceeding HKD 107.5 million (approximately USD 13.71 million).
Between August 1 and 3, Hong Kong police arrested six people, one man and five women, on suspicion of conspiracy to commit fraud. In Macau, two women were detained on charges of aggravated fraud.
According to local media reports, the group detained in Hong Kong was released on bail on Wednesday, August 5. Ironically, the ages of the group members ranged from 51 to 64, which is an atypical demographic for individuals involved in cryptocurrency fraud.
The age range of the victims is significantly broader and includes both 32-year-olds and 83-year-olds. Retirees also lost their savings to this scheme.
Was Fun Coffee a Ponzi Scheme?
Investigators have already concluded that Fun Coffee paid money to early investors from the cash inflows of new ones, which is a classic Ponzi scheme structure. This scheme lasted until the app stopped working and withdrawal processing was suspended on July 20, as reported by Cryptopolitan.
Fun Coffee presented itself as a Vietnamese coffee business with assets of USD 1 billion, a staff of over 5,000, and a headquarters on Phu Quoc Island. It combined professional terminology related to genetically engineered coffee technology and coffee machine research with a crypto investment app.
As bait, investors were promised annual returns from 197% to 278%, depending on which investment group they joined: "Startup," "Growth," or "Journey." Referral bonuses and daily registration rewards were also added to encourage more active participation from the victims.
Total Losses May Be Much Larger Than Officially Reported
Estimates of damages published by Macau and Hong Kong authorities represent only a small fraction of the unofficial figures circulating online. Legislator Johnny Ng Kit-chong, who accompanied a group of victims after saying he received about 50 personal appeals in one week, warned that more than 1,000 people were likely affected by the collapse of Fun Coffee.
Ng also claims that the government could help victims recover their losses by granting authorities the power to freeze crypto assets and platform funds in cases of suspected fraud.
Victims Ignored Warnings Before Fun Coffee's Collapse
The collapse came after regulators had already sounded the alarm. On July 13, the Hong Kong Securities and Futures Commission placed the "Fun Coffee GCM Project" on its list of suspicious investment products, warning that participants risked losing all their principal capital.
Earlier, in May 2026, Vietnamese state television reported that the country's Ministry of Public Security had discovered signs of a Ponzi scheme, as previously reported by The Standard and Cryptopolitan.
Police stated that this case fits into a broader picture. In 2025, about one-third of the 5,135 cases of online investment fraud in the city involved virtual assets, and losses from online investment fraud exceeded HKD 3.58 billion, a 58.4% increase from the previous year and the highest among all types of fraud.
Investigators continue to examine the seized devices and contact other victims, and have stated they will continue to cooperate with agencies in Macau and overseas to trace the funds.
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