CE conveys concern over JPEX case

Chief Executive John Lee stressed that the incident regarding JPEX reflects the necessity for a proper regulatory system for virtual assets trading and made it clear that the Government will do more to educate investors.

Mr Lee made the statement ahead of today’s Executive Council meeting, saying that the incident highlighted the importance that investors must invest in virtual assets on platforms that are licensed and regulated by the Securities & Futures Commission (SFC).

“The licensing regime that has been introduced is exactly for that purpose (and) that is to protect investors so that they can invest under (a) very effective regulatory system to ensure that their assets and their investments are protected (and) to ensure that there will be (a) good risk control system that ensures that the money they put into the investment will not be abused by the platform.”

The Chief Executive emphasised that the SFC will monitor the situation very closely and ensure that investors are sufficiently protected.

He added that investors should thoroughly understand the operation mode of virtual assets trading and know that platforms that are not regulated by the SFC are considered risky.

“We will be doing more public education (on the risks of virtual assets trading) for investors to know about the risks.”

Mr Lee said that he has instructed the SFC and Police to hold a media session to explain the JPEX case and what they are doing to protect investors.