An advertisement board of JPEX Cryptocurrency Exchange on a street in Hong Kong, China. (Source: HK01)
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On September 14th, the Hong Kong police (China) announced that they are investigating JPEX Cryptocurrency Exchange following allegations that the platform has engaged in suspicious activities and promoted unlicensed products.
The police confirmed that, at the request of the Securities and Futures Commission (SFC), the Commercial Crime Bureau is investigating whether JPEX is involved in any criminal activities.
In a previous statement, the SFC warned that JPEX is advertising the exchange as a “recognized and licensed platform,” but in reality, it has not submitted an application or obtained approval from the city’s authorities.
According to the SFC, JPEX has exhibited suspicious signs such as advertising products that promise high profits, providing unauthorized cryptocurrency earning and deposit services.
In response, JPEX representatives criticized the allegations and declared that they have adjusted the withdrawal fees in accordance with the SFC announcement.
Facing the SFC‘s reaction, JPEX stated that it will gradually adjust the cryptocurrency withdrawal fees in the coming days and will increase the withdrawal limits.
According to AFP news agency (France), on the evening of September 14th, the platform restricted withdrawals to a maximum of 1,000 USDT per transaction and charged a withdrawal fee of 980 USDT per transaction.
In a press release earlier this year, JPEX stated that it manages a global asset and technology worth a total of 2 billion USD and has spent over 5 million USD to promote its services in Hong Kong.
In June, the Hong Kong government issued new regulations requiring all cryptocurrency exchanges in the special administrative region to be licensed and comply with investor protection measures./.
Nguyen Hang
