Hong Kong to tighten crypto regulation in wake of JPEX fraud case
The JPEX fraud saga began last week when the SFC revealed it had received 1,400 complaints against the exchange regarding fraud, withdrawal freeze and declining wallet balances. Hong Kong regulators are looking to tighten the noose around the crypto market after the arrest of six individuals following allegations of fraud around an unlicensed crypto exchange called JPEX. John Lee Ka-chiu, the chief executive of Hong Kong, told reporters on Sept. 19 that the government would increase its efforts to inform investors and remind them to only utilise platforms that have been granted SFC licences, reported AP News. The JPEX issue came to the fore last week when the country’s Securities and Futures Commission (SFC) notified the public that they had received over 1000 complaints related to the unregistered crypto exchange platforms with customers complaining about collectively losing over $128 million (1 billion Hong Kong won) due to the fraudulent exchange. The SFC in its warning noted ...