Hong kong Regulators were very worried about crypto regulations after receiving 10000 complaints about unregistered crypto exchange platform. Within short time six people got arrested on allegations of fraud for unlicensed crypto exchange known as JPEX.
The JPEX issue appear when public complained that they lost amount almost one billion Hong Kong Dollars. These issues came to appear SFC and they started their campaigns to inform public about privacy terms and regulations.
It was noted that JPEX promoted the platform’s services and products to the Hong Kong public through online celebrities and money charges services.
Within some time , when the issue became public many of people themselves unable to withdraw their balance. On other hand many of them found reduced their funds.After the warning alerts the platform repeatedly increased its withdrawal fee to $1000 so that people can’t withdraw their assets.
Hong Kong Chief Executive John Lee Ka-Chiu told reporters on Sept. 19 that the government is trying to control this situation and would increase its efforts to inform investors and remind them only to utilize platforms Securities and Futures Commission licenses, reported the Associated Press.
This report was added on 13 september and within some days the SFC controlled over the situation.