In a statement on Sept. 25, the financial regulatory agency said it would publish a complete list of licensed virtual asset trading platforms on its website. This list will encompass licensed platforms, those in the application process, entities it has ordered shut down, and those it considers suspicious.
This comprehensive list would be communicated transparently and timely to warn investors about the businesses they should interact with, the agency said.
Besides that, the Commission intends to launch a fraud prevention publicity campaign that would educate the public on protecting themselves against fraud. It also intends to investigate and prosecute illegal platforms, vowing to enhance its intelligence-gathering process on virtual assets-related businesses.
In a statement, Hong Kong lawmaker Johnny Ng said he has written a legislative council to establish a subcommittee focused on the emerging industry.
The committee will ergänz the recent regulatory reforms by discussing the development of Web3 and virtual assets and examining the loopholes in current regulations that allowed the implosion of JPEX.
Ng is a pro-crypto lawsman who has fought for the industry in the Asian city. The lawmaker was recently invited by Ethereum co-founder Vitalik Buterin to the region to gain insights into the cryptocurrency industry in Hong Kong.
Police have arrested 11 individuals connected to the JPEX case over the weekend, the South China Morning Post reported. The authorities are actively seeking Interpol assistance in their search of the exchange's leaders, and they have also successfully frozen a few cryptocurrencies linked to the fraud, according to the report.
The SFC said it would routinely review the regulatory regime in Hong Kong and consider timely measures in light of new market developments. He added: 'It's an amazing thing to see.
The collapse of the Hong Kong-based cryptocurrency exchange had raised questions about the city's regulatory procedures. The rug pull was responsible for about 2,305 victims, with about $178 million in losses.