Some trading activities on JPEX, a cryptocurrency platform, have been suspended amid a police investigation in Hong Kong.
The company said in a statement to Bloomberg News that it was facing a liquidity crunch and was in talks with third-party market makers to solve the issue.
It also said that users could not place new orders on its Earn Trading interface, which offers some wealth management products, from Monday.
JPEX is under scrutiny by the Hong Kong police after the Securities and Futures Commission (SFC), the market regulator, referred the case to them.
The SFC had warned that JPEX was operating without a license in the city, which is trying to boost its role as a crypto hub by attracting more individual investors.
JPEX said that its market makers had frozen funds due to the probes by the Hong Kong authorities.
It added that existing orders on Earn Trading would continue until the product’s maturity.
