TechFlow reports that at a press briefing on the JPEX case, Hong Kong police stated that as of 10 p.m. last night, they have received 1,641 reports from individuals who claimed they were unable to withdraw assets from JPEX and suspected fraud, involving approximately HK$1.2 billion. Maurice Mak, Acting Chief Inspector of the Commercial Crime Bureau, said that eight people—four men and four women aged between 22 and 52—have been arrested on suspicion of conspiracy to defraud. He added that during operations, police seized HK$8 million in cash and froze over HK$12 million in bank deposits and HK$44 million in properties, totaling HK$67 million in assets identified as suspected proceeds of crime.
Stephen Hung, Senior Superintendent of the Commercial Crime Investigation Bureau, noted that JPEX promoted its platform services through advertisements, social media, over-the-counter exchange booths, and KOLs (key opinion leaders), claiming low risk and high returns. However, many victims lacked experience in cryptocurrency investment and found the returns promised by JPEX hard to believe.
In addition, JPEX advised users to convert other cryptocurrencies into its issued JPC token, which has almost no liquidity on other platforms. Some victims even handed over their cryptocurrency private keys to JPEX.
