Hong Kong looks to crackdown on cryptocurrency abuse
Hong Kong to tighten regulation of digital assets
Hong Kong’s leader has said the territory will tighten regulation of digital assets.
Arrests made in fraud case at unlicensed cryptocurrency exchange
The announcement comes after Hong Kong police arrested six people following allegations of fraud at an unlicensed cryptocurrency exchange in the city. The arrests followed an announcement by Hong Kong’s securities watchdog last week that the exchange, JPEX, was unlicensed. The watchdog adds JPEX did not have authority to operate its cryptocurrency trading platform in the city.
Complaints against JPEX
The Securities and Futures Commission said it had received more than 1,400 complaints against JPEX involving more than 1 billion Hong Kong dollars (about $128 million) in losses. JPEX suspended trading on its platform on Monday and blamed a third-party market maker for freezing its funds. It complained of unfair treatment by the authorities.