Blogger arrested in Hong Kong for promoting crypto exchange without a license

Blogger arrested in Hong Kong for promoting crypto exchange without a license

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Author: Robert Strickland (crypto-journalist)
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In Hong Kong, a blogger has been arrested for promoting a cryptocurrency exchange without a license.

According to reports from the South China Morning Post and local channel HK01, the police arrested Joseph Lam Chok, an influencer who was promoting the exchange, and seized equipment from his office.


 

Authorities are also interrogating other celebrities who endorsed the exchange. There have been 83 complaints against JPEX, amounting to HK$34 million ($4.3 million). On September 14, Hong Kong's Securities and Futures Commission (SFC) warned JPEX users about the risk of losing their funds, accusing the platform of making "dubious offers" to users and spreading false information about the company's license. JPEX officials announced that the exchange will suspend trading starting from September 18 and will adjust withdrawal fees. The statement mentioned that JPEX is in discussions with third-party market makers to address liquidity shortages.

In August, Hong Kong's regulator warned that "improper practices" by crypto exchanges could be considered criminal. The SFC identified cases where platforms provided services without the necessary license or knowingly reported false information about their licensing status.

 

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