Is JPEX the Epicenter of Crypto Scandal in Hong Kong?

Trouble brews for JPEX as it faces allegations of being a potential hub for money laundering. This comes amid suspicions of a rug pull

Bitrace reports that an address linked to JPEX moved over 190 million TRC20-USDT tokens in 20 months, raising concerns for investors using the exchange

Hong Kong, a crypto-friendly hub, faces a setback as regulators intensify actions against JPEX, which has now ceased operations

Six individuals, including a crypto influencer, have been arrested

JPEX operated without a license, leading to investor complaints about withdrawals and discrepancies in account balances

The SFC declared it unauthorized for crypto trading in the city.

JPEX suspended trading and is in negotiations with market makers to address liquidity issues. They've also accused a third-party market maker of freezing funds

Police freeze bank accounts and seize properties, totaling millions of Hong Kong dollars, related to JPEX. They've received over 1,600 complaints involving a substantial amount of money

Hong Kong Chief Executive emphasizes the importance of investing in licensed virtual asset platforms to protect investors. The situation remains closely monitored.