Embattled Crypto Exchange JPEX Seeks Deregistration in Australia Amid Fraud Allegations

According to Cointelegraph: Hong Kong-based cryptocurrency exchange JPEX, currently facing legal issues, has applied for deregistration in Australia, according to a filing revealed by Cointelegraph on September 20. The filing states that Jieyi Chen, director of JP-EX Crypto Asset Platform PTY LTD (JPEX), initiated the deregistration process with the Australian Securities and Investment Commission. The filing indicates that all company members agree to the deregistration, adding that the firm is no longer in business, its assets are not exceeding $1,000 Australian dollars, and it does not carry any liabilities. This move comes shortly after Hong Kong police arrested six JPEX employees on fraud charges for operating an unlicensed crypto exchange during the Token2049 conference in Singapore on September 13. The SFC of Hong Kong reported receiving over 1,000 complaints about JPEX, with claims exceeding 1 billion Hong Kong dollars ($128 million) in loses. Amid the escalating controversy, JPEX allegedly raised its withdrawal fees to 999 USDT to prevent funds exiting the exchange. Ahead of its website going offline, JPEX proposed a compensation plan for its users, stating that they would be fully reimbursed with their assets exchanged for stakes in the JPEX DAO by September 21.