Recently, Hong Kong police froze assets totaling over US$29 million linked to the collapsed JPEX exchange. This development has reignited scrutiny within the cryptocurrency community. Authorities have arrested 72 individuals, including chief partner Chang Tung-Ying and educator Shi Yu, and summoned singer Nine Chen for testimony.
The collapse of JPEX has resulted in 2,600 individuals losing an estimated US$206 million, leading to the implementation of extensive anti-scam measures throughout Hong Kong.
The JPEX case in Hong Kong has reignited, causing a stir within the cryptocurrency community. After a prolonged period of inactivity, authorities have taken action to freeze assets valued at more than US$29 million that are associated with the defunct exchange. With prominent individuals apprehended and ongoing inquiries, worries about fraudulent activities in the digital asset realm are once again brought to the forefront.
Assets of JPEX Crypto Exchange Frozen in Hong Kong Amid Fraud Allegations
Hong Kong police officials have taken a major step by declaring the freezing of assets worth more than US$29 million associated with JPEX, a cryptocurrency exchange that experienced a collapse in September. The recent surge in arrests has further strengthened the case, with authorities detaining Chang Tung-Ying, the chief partner, and Shi Yu, an educator linked to JPEX Exchange. This brings the total number of arrests to 72 individuals.
Unexpectedly, Taiwanese singer Nine Chen, who was previously associated with JPEX, has been summoned to give testimony in the ongoing investigations. In the face of growing allegations, JPEX Exchange continues to uphold its contentious policy of charging excessive fees for the withdrawal of virtual assets, causing significant harm to affected users.
Effects of JPEX Collapse on Victims and Anti-Scam Measures in Hong Kong
Police Commissioner Raymond Siu has revealed that the collapse of JPEX has caused significant devastation, resulting in over 2,600 individuals losing an estimated US$206 million. The incident has led to a surge in warnings about scams throughout Hong Kong. Alerts are appearing in public spaces and even on mobile networks such as China Mobile HK, advising users to be cautious of possible fraud schemes.
This case highlights the concerning problem of crypto fraud in Asia. Singapore has reported a significant loss of US$479 million to scams in 2023, although this is slightly lower than the previous year’s figure of US$660.7 million, as reported by official sources. As the investigation into JPEX continues, authorities are actively working to uncover the complete scope of the alleged fraud and ensure that those accountable face the appropriate consequences for their actions.
