JPEX Mobile App Is Currently Blocked After Scam Reports In Hong Kong

Key Points:

• Hong Kong telecom providers blocked JPEX’s mobile app due to police instructions.
• The company is under investigation for a HK$1.2 billion fraud, leading to eight arrests.
• It used misleading tactics to lure investors, resulting in multiple victims.

In a recent development, the virtual asset trading platform JPEX has found itself embroiled in a suspected conspiracy to commit fraud, with victims reporting disruptions to the platform’s mobile application, as reported by a local news outlet.

Users of Hong Kong telecommunications service providers 1010 and CSL have encountered difficulties accessing the JPEX mobile app. The police have reportedly issued instructions to local telecommunications service providers to block the application, potentially leading to further blocks by other providers.

Telecommunications companies, while not taking proactive measures to block the JPEX application, have complied with police directives. This action is in line with established mechanisms involving the Office of the Communications Authority (OFCA), the police, and local telecom providers aimed at preventing scams and counterfeit websites. Given the fraudulent nature of JPEX, these instructions were followed.

JPEX, in response to the disruptions, advised affected customers to utilize VPN networks or the web version for normal platform access. The company reassured users that all platform operations were running smoothly.

As Coincu reported, Hong Kong authorities have intensified their investigation into JPEX, suspecting a conspiracy to defraud involving an estimated HK$1.2 billion. Eight individuals, including the owner of an over-the-counter exchange shop, have been arrested in connection with the alleged fraud.

Senior Superintendent Kong Qingxun of the Commercial Crime Investigation Bureau revealed that JPEX had employed a multifaceted strategy, including advertising, social media campaigns, and collaborations with internet influencers, to promote off-site transactions. The platform enticed unsuspecting investors with promises of “high risk and low return,” leading to a substantial number of reported victims.

This ongoing investigation underscores the importance of regulatory vigilance in the virtual asset trading sector and serves as a warning to investors about potential risks associated with such platforms.

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