Founder of Taiwan Crypto Exchange Arrested for Fraud: Report

Taiwanese authorities have reportedly arrested David Pan, the founder of Ace Exchange, on charges of fraud using cryptocurrencies.

According to a report from the Liberty Times on January 4, Taipei City police arrested Pan and 14 others following raids at various locations, including Ace's headquarters. The authorities alleged that the individuals made illegal profits of 200 million Taiwan dollars — $6.4 million at the time of publication — by deceiving investors with false crypto claims.

In a statement from X (formerly Twitter) on January 4, Ace said that any alleged illegal activities were on the “token project side” and did not affect the exchange's activities. Ace president Wang Chenhuan said the exchange had planned to cancel the MOCT/TWD trading pair on January 8 – MOCT is one of the tokens raised in the alleged fraud – and said it would “fully cooperate” with any investigation.

“Some funds listed in 2019 were involved in illegal activities,” Wang said. “Basically, ACE is cooperating with the investigation as a witness. Some media reports that our staff is involved in the case, which is not true,” he said.

You may have seen the news. ACE explains here that this feature is a side feature of the token project and has nothing to do with the operation of the exchange. Operations are currently normal. If you have problems with the withdrawal of currency, you can ask through our official channels.

【ACE Ace Fiat Cryptocurrency Exchange Description】https://t.co/VnoekKpWL2

— ACE Exchange (@ACE_exchange) January 4, 2024

Related: Taiwan evaluates global trends before deciding on a crypto ETF

Among the seized funds, Taiwanese police seized about $3.5 million worth of crypto. Pan and other individuals are said to be in jail on suspicion of fraud after refusing to cooperate.

Along with MaiCoin and BitoGroup, Ace is one of Taiwan's leading crypto trading platforms. In the year Founded in 2018, the company is a member of industry associations in a changing regulatory environment in the country.

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