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HomePolicyDefiant JPEX touts new plan to woo users, barks back at regulators

Defiant JPEX touts new plan to woo users, barks back at regulators


Defiant JPEX takes swipe at Hong Kong financial regulator as crypto exchange touts new plan to woo users

The embattled platform has outlined plans to offer new investors a deferred payout in a ‘DAO Stakeholders Dividend Plan’The exchange has also reiterated its stance that financial regulators caused the freeze of user funds when it warned that JPEX was unlicensedBlockchainDylan ButtsandXinmei ShenPublished: 10:00pm, 21 Sep, 2023Why you can trust SCMP

JPEX is dangling a dividend plan to attract new investors to put money into its cryptocurrency platform, defying concerted efforts by Hong Kong’s police and regulators to stop what could turn out to be the city’s biggest-ever financial fraud.The exchange, which suspended trading on Monday and was raided by police on the same day, has outlined a “DAO Stakeholders Dividend Plan”, which promises new users the chance to invest in a dividend paying asset, with a potential buyout price of twice its original price after two years.

Under that plan, the company said it would distribute 49 per cent of the stakeholder dividends, with a total value of US$400 million.

By Thursday, investors who currently have assets frozen in JPEX would finish voting on the plan, which would allow them to convert their funds into DAO Stakeholder dividends with a repurchase ratio of one-to-one after two years, according to JPEX.

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