JPEX Floats "DAO Stakeholder Dividend Plan" for Users as Authorities Block Access to Exchange
In response to the ongoing HK$1.3 billion scandal in which Hong Kong police have asked telecom service providers to block access to JPEX's website, resulting in the arrest of three additional individuals suspected of conspiracy, JPEX has put forth a new dividend plan for its investors.
The investigation into JPEX by the police was prompted by a recent warning from the SFC, which highlighted that crypto influencers and the trading platform had been disseminating false or misleading information on social media.
This misleading information suggested that JPEX had applied for a virtual asset trading license in Hong Kong.
Last week, the JPEX team allegedly abandoned its corporate booth following the arrest of six JPEX employees by Hong Kong police. They were charged with fraud for running an unlicensed crypto exchange.
The Hong Kong Securities and Futures Commission (SFC) reported receiving over 1,000 complaints related to the JPEX platform on the same day, with reported losses totaling over 1 billion Hong Kong dollars ($128 million).
As of Monday night, the police had received a total of 1,641 complaints related to the JPEX case. These primarily revolved around users' inability to withdraw their holdings from the exchange.
In aggregate, the assets involved in these complaints amounted to approximately HK$1.3 billion ($166 million), as reported by the police during a briefing on Tuesday.
To address the ongoing liquidity crisis, JPEX announced the suspension of some of its operations and an increase in withdrawal fees on Sunday.
Also, to mitigate the ongoing scandal, Hong Kong police have called upon telecom service providers to block access to JPEX's website.
Additionally, they plan to request the removal of JPEX-associated pages from
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