Hong Kong police reportedly arrested crypto influencer Joseph Lam, often known as “jolamchok” on Instagram, in reference to the JPEX cryptocurrency alternate case.
Per a South China Morning Put up report, Hong Kong police arrested Joseph Lam for allegedly aiding JPEX’s fraudulent actions, conducting a raid on his workplace and seizing banknotes, computer systems, and telephones.
The Securities and Futures Fee (SFC) of Hong Kong issued a press release alleging that JPEX had been selling its providers and merchandise to the Hong Kong public by way of on-line celebrities and over-the-counter cash changers.
Unconfirmed reviews counsel that Joseph Lam (aka Lin Zuo) mentioned funding “schemes” with members of a cryptocurrency funding chat group, convincing one member, Miss Chen, to speculate 100,000 Hong Kong {dollars} in crypto.
The influencer has not responded to Cointelegraph’s request for remark concerning the accusations towards him.
In response to the allegations, Joseph Lam (aka Lin Zuo) posted a information article on his social media account with the caption, “No matter doesn’t kill you makes you stronger.”
After the allegations emerged, Joseph Lam (aka Lin Zuo) reportedly visited the police along with his legal professionals to supply mandatory data concerning the matter.
Nevertheless, JPEX has confronted accusations of a liquidity disaster, ensuing in elevated withdrawal charges and the suspension of sure operations. The alternate attributed these points to the actions of regulators and “third-party market makers” and pledged to get better liquidity from these third events and progressively modify withdrawal charges again to regular ranges.
A latest report from crypto alternate Bitfinex revealed that capital outflows from the cryptocurrency business totaled $55 billion in August, impacting not solely Bitcoin but additionally different main cryptocurrencies like Ether and stablecoins.
