Hong Kong authorities have launched an investigation into cryptocurrency trading platform Hounax after over 130 victims reported losing a combined $15.4 million in an alleged scam.

Local police said Saturday they opened a probe following claims that Hounax defrauded investors out of 120 million Hong Kong dollars. According to reports, those affected range from age 19 to 78 - including a 69-year-old retired woman who lost $12 million alone.

Police official Chan Wai-kei stated that the scheme enticed victims to invest in crypto through Hounax's platform. But when investors sought to withdraw funds, they found themselves unable to do so.

Earlier in November, Hong Kong's Securities and Future Commission (SFC) designated Hounax as a suspicious trading platform - cautioning that its claims of partnerships with financial firms were false. The SFC said Hounax appeared to target local investors.

The investigation follows similar September probes into Hong Kong crypto exchange JPEX, which has drawn over 2,600 complaints of fraud totaling $1.6 billion. Authorities have made 66 related arrests so far.