The British Columbia Securities Commission has issued a warning about the purchase of virtual shares of a company tied to app games that are being marketed to investors who speak Mandarin in the Vancouver area. Virtual shares are not based on any corporate assets and the shares are only capable of being subscribed to on mobile apps. It also appears that no share certificates are issued, all of which is inconsistent with the Business Corporations Act.
Two promoters have been named – FullCarry and International Money Tree. The way the game works is that investors are told that with rising demand (hyping the stock on the app), the price will be driven up and will allegedly split at a certain point, allegedly generating income for subscribers.
The subscription works like a pyramid scheme where subscribers are given bonuses for new investors they find.
FullCarry is a BVI entity based in Dubai and IMT is in Singapore.