1 year ago
The JPEX fraud saga began past week erstwhile SFC revealed they person received 1,400 complaints against the speech regarding fraud, withdrawal frost and diminution successful wallet balances.
Hong Kong regulators are looking to tighten the noose astir the crypto marketplace aft the apprehension of six individuals pursuing allegations of fraud astir an unlicensed crypto speech called JPEX.
John Lee Ka-chiu, the main enforcement of Hong Kong, told reporters connected Sept. 19 that the authorities would summation its efforts to pass investors and punctual them to lone utilise platforms that person been granted SFC licences, reported AP News.
The JPEX contented came to the fore past week erstwhile the country’s Securities and Futures Commission (SFC) notified the nationalist that they had received implicit 1000 complaints related to the unregistered crypto speech platforms with customers complaining astir collectively losing implicit $128 cardinal (1 cardinal Hong Kong won) owed to the fraudulent exchange.
The SFC successful its informing noted that JPEX was actively promoting the platform’s services and products to the Hong Kong nationalist done online celebrities and over-the-counter wealth changers.
As the problems with JPEX became nationalist with the informing from the SFC, galore users of the level recovered themselves incapable to retreat their funds portion others complained astir reduced wallet balances. After the Hong Kong watchdog’s informing to the exchange, the level reportedly accrued its withdrawal interest to $1,0000 to discourage users from withdrawing their assets.
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The crypto exchange aboriginal blamed third-party marketplace makers for the ongoing liquidity situation connected the level that resulted successful the hike of the withdrawal fee. The Hong Kong constabulary besides arrested influencer Joseph Lam (Lin Zuo) for his relation with crypto speech JPEX.
Hong Kong established itself arsenic a increasing crypto hub successful 2023 moving connected assorted pro-crypto authorities and opening the crypto trading marketplace for retail customers. However, unlicensed crypto platforms similar JPEX person managed to fool galore users successful the state owed to a deficiency of cognition and awareness. The regulatory assemblage is present moving to amended radical connected utilizing lone licensed platforms for their crypto trading activities.
Collect this nonfiction arsenic an NFT to sphere this infinitesimal successful past and amusement your enactment for autarkic journalism successful the crypto space.
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