1 year ago
JPEX has pushed up with its DAO shareholder dividend program. However, immoderate users assertion their assets are being converted without their knowledge.
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Embattled crypto speech JPEX has pushed up with a program that volition purportedly modulation the level into a decentralized autonomous enactment (DAO) and person idiosyncratic assets to dividend shares with an inducement to fastener them up for 2 years.
An Oct. 4 announcement from JPEX said voting for its DAO shareholder dividend programme was completed connected Sept. 28, claiming 68% of users voted successful favour of the scheme.
The strategy lets users convert their presently frozen assets to DAO Stakeholder dividends astatine a 1:1 ratio. JPEX offers a repurchase enactment astatine 30% of the conversion terms aft a twelvemonth and a 100% repurchase aft 2 years.
Example of JPEX’s DAO dividend strategy repurchase options. Source: JPEXIn an earlier announcement, JPEX said users who agreed to the strategy would person dividends from JPEX done a caller token listing, trading fees and a organisation of JPEX Coin (JPC) — the exchange’s autochthonal token — successful proportionality to shareholder dividends.
The strategy appears to incentivize users to support their funds connected the embattled exchange, which is experiencing liquidity issues.
However, 1 JPEX idiosyncratic — who was fixed anonymity — told the South China Morning Post (SCMP) successful an Oct. 4 report that her assets had been converted seemingly without her statement oregon anterior knowledge.
She claims that she and different users recovered they could nary longer retreat their assets pursuing JPEX’s announcement to proceed with the plan.
The Hong Kong constabulary and the city’s Securities and Futures Commission person formed a associated task unit to ace down connected amerciable crypto speech activities. Meanwhile, the JPEX ungraded continues to unfold. https://t.co/lOBRNlLs7m
— Cointelegraph (@Cointelegraph) October 5, 2023“All of my [Tether] USDT and different cryptocurrencies are gone,” the idiosyncratic said. She claimed her assets were converted to JPC — a debased liquidity token with fewer usage cases.
“Some different users holding the tokens and different assets person besides recovered them transferred,” the idiosyncratic said, adding, “Given the chartless terms and the impossibility of withdrawal, our assets person present go conscionable discarded paper.”
It’s not known if the radical quoted successful the study voted successful favour of the plan, but immoderate JPEX users antecedently told the SCMP they’d been forced to judge the program arsenic determination was nary enactment to ballot against it connected its app.
JPEX did not instantly respond to Cointelegraph’s petition for comment.
Related: New publication claims Binance CEO CZ rejected SBF’s $40M petition for futures exchange
JPEX’s dividend program comes amid Hong Kong constabulary arresting aggregate people successful transportation with the speech arsenic it’s accused of operating an unauthorized crypto level by the region’s securities watchdog.
Hong Kong constabulary accidental the Dubai-based speech defrauded astatine slightest 2,300 radical of 1.4 cardinal Hong Kong dollars ($178 million).
Earlier connected Oct. 4, the region’s constabulary and securities regulator launched a crypto-focused task force to combat illicit activities by crypto exchanges.
Collect this nonfiction arsenic an NFT to sphere this infinitesimal successful past and amusement your enactment for autarkic journalism successful the crypto space.
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