ACE Exchange is involved in fraud! Cheated 1 billion in three years

The year 2024 has just started in Taiwan’s currency circle. “ACE Ace Exchange”, one of the top three exchanges in Taiwan, was exposed for fraud on the evening of January 4 and was investigated by the New Taipei City Criminal Police Brigade. NT$100 million in cash was seized from the home of Lin Nan, the partner of former ACE head Pan Nan.

According to the "Liberty Times" report, in the past three years, Lin Nan and Pan Nan used fake advertisements to lure hundreds of investors into investing in worthless cryptocurrencies. According to police estimates, the amount of fraud committed by the two in three years may exceed 1 billion yuan.

This fraud was divided between two people. Lin Nan was responsible for using social media such as Instagram, Facebook, and The currency will be listed on well-known domestic and foreign exchanges in the future; Pan Nan will use the credible, legal and compliant ACE exchange to list the cryptocurrency.

How to use legal exchanges to cover up fraud and deceive investors?

Taking MOCT (Magic Coin) as an example, you can see on the official website that "blockchain technology is currently cooperating with the well-known Taiwanese manufacturer ACE", and the introductory text on the official website of ACE Exchange also emphasizes that it is incubated by "ACE Exchange". This increases the credibility of the token.

The New Taipei City Criminal Police Brigade pointed out that the two committed fraud through information gaps, misleading investors into thinking that these cryptocurrencies were the latest technology and had the same bullish potential and liquidation value as Bitcoin. However, what investors actually purchased were "garbage coins" and "air coins", and the currency prices had no value. By the time investors found out, they had already collapsed and could not be cashed out.

The police seized a total of 15 locations in Taipei, New Taipei, Taichung and other places, including Lin Nan's residence and the company base of ACE Ace Exchange. The police also seized a large amount of cash and cryptocurrency from Lin's residence, with a total of more than 200 million yuan in illegal profits. The police estimate that the amount of fraud committed by the two men in three years may exceed 1 billion yuan.

Lin and Pan, along with 14 of their employees, were prosecuted by the police on suspicion of fraud under the Criminal Code, the Money Laundering Prevention Act, and the Banking Act.

Industry clarification: The project party is involved in illegal activities and has nothing to do with the exchange

"WEB3+" immediately contacted the ACE exchange's spokesperson. The industry operator said that this fraud incident was "individual currency listing parties were involved in illegal activities in 2019 and had nothing to do with the exchange itself." Whether it was an ACE employee or The exchange itself is fully cooperating with the prosecutors and police as witnesses as witnesses. Some media reported that ACE Exchange employees were involved in the case, which is not true. A letter has been sent to the media to correct it.

However, ACE Exchange did not strictly control the currency and allowed the problematic coins to be listed on the exchange, and it has not found any problems and removed them for several years. I am afraid that ACE is not 100% responsible for this fraud.

ACE Exchange issued a three-point statement: It will fully cooperate with the investigation

In response, ACE Exchange immediately issued a three-point statement, emphasizing that the exchange will fully cooperate with the investigation, and that the newly appointed president Wang Chenhuan in 2023, who is also the director of Jianye Law Firm, will be committed to legal compliance and the protection of user assets. Safety, the following is the full text of the operator's statement.

First: the safety of user assets is the primary consideration, 100% NT$ trust and cryptocurrency dual protection


ACE Ace Exchange was founded in 2018 and registered in Taiwan. It is the first Taiwanese exchange under KPMG to provide guidance on compliance with domestic AML-related laws. In 2021, it submitted the Compliance Statement of Money Laundering Prevention and Control Act to the Financial Supervisory Commission, and also has dual insurance "KGI Bank 100% NT Dollar Price Trust Custody" and "CYBAVO Cryptocurrency Wallet System" through Nord Insurance Brokerage to protect customer encryption Monetary asset custody.

ACE Exchange also emphasized that Wang Chenhuan, the newly appointed president in September 2023, is also the director of Jianye Law Firm. In the future, he will be committed to legal compliance and protecting the security of user assets as his primary consideration.

Second point: Regularly review the development and market transactions of listed cryptocurrency projects to provide users with more diverse choices


ACE Exchange stated that it will continue to pay attention to the project development and market transactions of all listed cryptocurrencies.

In order to provide users with a good trading environment and service quality, ACE Exchange will regularly implement the market review process, and continue to conduct comprehensive evaluations of the currencies that have been applied for listing in the past. Ineligible tokens will be removed from the shelves in advance, and new ones will be added one after another. Popular tokens provide users with more diverse choices.

ACE Exchange also emphasized that if its projects include private placement and local promotion team sales that are not operated on the ACE platform, users are also asked to pay special attention.

(※Risk reminder: The listing and delisting of currencies have been reviewed by ACE, but this does not mean that there are no investment risks. Cryptocurrency assets are high-risk investments. Investors are advised to choose the target carefully, read the white paper and other public instructions in detail, and pay attention to investment risks at all times)

The third point: If there is any dispute or violation by the project side, ACE will fully cooperate with the investigation and will immediately remove the product from the shelves before the dispute is clarified to protect users.


ACE Exchange will delist the MOCT/TWD trading pair at 16:00 on January 8 (Monday). After the delisting, all pending orders will be automatically removed, and subsequent currency deposit and withdrawal functions will not be affected.

Regarding disputes and violations involving specific project parties, ACE also stated that it will fully cooperate with the investigation. It has not had any impact on ACE's operations so far. It will operate more prudently in the future and strive to remain the top three in the Taiwan market.

Review editor: Gao Jingyuan

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