Hong Kong’s JPEX Sees Significant Increase In Victims In HK$1.37 Billion Fraud

Key Points:

• Hong Kong’s JPEX crypto platform sees rising fraud cases, with over 2,197 victims and HK$1.37 billion in losses.
• The Chief Executive of Hong Kong emphasizes the need for regulated crypto platforms and robust regulations.
• JPEX’s subsidiary cancellation raises concerns about its operations.

The cryptocurrency trading platform Hong Kong’s JPEX is under increasing scrutiny as reports suggest a rising number of victims falling prey to suspected fraud cases, according to reports from aastocks and other media.

JPEX Faces Mounting Fraud Allegations in Hong Kong

According to local police, the number of reported victims reached 2,197, with losses totaling approximately HK$1.37 billion as of the latest update.

Amidst the controversy, Lin Zuo, released on bail earlier, announced an upcoming emergency press conference to address the latest developments. Meanwhile, Hong Kong artist Zhuang Simin, previously suspected of fleeing to Singapore, returned to Hong Kong for questioning by the Commercial Crimes Bureau.

In a twist, media outlets revealed that JPEX had canceled the registration of its subsidiary, “JP-EX CRYPTO ASSET PLATFORM UAB,” in Lithuania on July 14 of this year. Last year, JPEX publicly announced its acquisition of Lithuanian cryptocurrency exchanges and wallet operations. The removal of the “Professor Registration Permit” notice from the website has raised further questions about the platform’s operations.

Hong Kong Chief Executive Calls for Crypto Regulation Amidst JPEX Controversy

Expressing grave concern, Chief Executive Mr. Lee Ka-chiu reiterated the importance of investing in licensed and regulated virtual asset platforms during a recent speech. He emphasized the urgent need for an effective regulatory framework and transparent information dissemination. Investor education, he stressed, should also take priority.

As investigations continue, the JPEX case serves as a stark reminder of the risks in the cryptocurrency market and the pressing need for robust regulation and transparency.

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