Following the JPEX tragedy, Hong Kong will publish a list of cryptocurrency companies.

News Desk5
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In the wake of the JPEX scandal, the Hong Kong financial regulator will reveal a list of firms that have filed for retail crypto trading licenses launched recently. It will also reveal a list of suspicious crypto trading platforms.

The Securities and Futures Commission (SFC), Hong Kong’s financial regulator, issued a statement on 25 September about the directives.

The SFC said in its statement that it will publish lists of licensed virtual asset trading platforms (VATPs), of closing-down VATPs, and of VATPs deemed to be licensed as of 1 June 2024. In addition, it will also publish a list of VATP applicants “in light of public demand.”

The regulator said it’s taking these actions in order to help the public become more aware. They will be able to easily identify suspicious crypto firms operating in Hong Kong and distinguish them from legitimate firms.

Big fish still at large

Two days ago, the South China Morning Post (SCMP) reported that the ringleaders behind the JPEX crypto scam were still at large. So far, the Hong Kong police have taken 11 individuals into custody in relation to the scam.

Local police are now enlisting the help of Interpol and other international enforcement agencies after they identified crypto funds being suspiciously transferred from the JPEX exchange.

The police have received 2,265 complaints from victims so far, leading to a loss of $174 million.

On 13 September, the SFC warned that none of the entities under the JPEX Group have secured a crypto license. Further, the exchange did not apply to run a regulated virtual asset trading platform VATP. At that point of time, the exchange denied the regulator’s claims in strong words.

But the probe led to third-party market makers withdrawing their support from the exchange. It also led to an immediate liquidity crisis at JPEX, and it collapsed in no time.

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