EtherDelta Under Investigation in China for Possible Exit Scam

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EtherDelta, one of the earliest and most widely used decentralized exchanges, is under investigation in China, local sources reported. A filing has been made to explore the nature of the scam, based on the sale of a token. Wan, co-founder and managing partner of Primitive, noted the first filings on the case, related to an earlier token sale. Wan noted that the Russian founder of Ether Delta, Zack Coburn, sold the exchange to its new owners in 2017. Jun Chen has been mentioned as one of the new owners of EtherDelta.The new team issued the EDT token, a native exchange-based asset, which ended up in an exit scam. The criminal investigation and the involvement of the Chinese police force were an attempt to redress relatively large-scale personal financial losses, commented Wan.EtherDelta has crossed the law in the past, especially the US regulations on crypto assets. Coburn was then ordered to…

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