OKEx founder gets detained in Shanghai over investment fraud
Star Xu, the founder of the top cryptocurrency exchange OKEx and OKCoin, has been arrested in Shanghai by the state police due to an alleged involvement he had with WFEE Coin. Being a shareholder of the reportedly fraudulent scheme, he has been held for questioning. OKEx has raised its hands, denying any involvement with its founding father’s association with the fraudulent scheme.
How deeply was OKEx founder involved in the scam?
The complaint based on which the Shanghai police held Xu, is that WFEE token was sold to investors via its website and it was reportedly a sham. WFEE was apparently located in Shanghai.
Till now, it is unclear how deeply Xu was involved in the scam or even if he had got to do anything with the whole thing at all. But the question that surfaces is that if the top global exchange will be experiencing any negative impact on it at all. He might either be released or held in custody after the first 24-hour period passes in a few hours.
Image via Shutterstock
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