The Securities and Futures Commission (SFC) of Hong Kong yesterday announced in a statement the establishment of a dedicated joint working group targeted at Virtual Asset Trading Platforms (VATPs).
In collaboration with the Hong Kong Police Force, this task force aims to oversee and investigate illicit activities within such VATPs.
With the JPEX scandal allegedly involving losses amounting to approximately HK$1.2 billion (equivalent to US$154 million) to more than 1,600 investors, the primary objective of this newly formed division is to facilitate the exchange of information concerning suspicious activities involving VATPs.
Furthermore, it seeks to institute a risk assessment mechanism for identifying questionable platforms while fostering improved coordination and cooperation in associated investigations.
Established following a meeting between the two parties on September 28, the working group will comprise of representatives from various branches of the Hong Kong Police Force.
This includes the Commercial Crime Bureau, Cyber Security and Technology Crime Bureau, Financial Intelligence and Investigations Bureau, as well as representatives from SFC’s Enforcement and Intermediaries divisions.
This incident is now recognised as the most significant fraud case in the history of Hong Kong.
JPEX was an unlicensed virtual asset platform based in Hong Kong.
Coinlive previously reported on the JPEX saga, which unfolded over Token2049 week held in Singapore.
In a recent development, JPEX has publicly disclosed its intentions to transition into a Decentralized Autonomous Organization (DAO).