According to Foresight News, Beijing police and the Beijing branch of the State Administration of Foreign Exchange have recently cracked a series of cases involving virtual currency, with the amount involved exceeding 2 billion yuan. The cases spanned 15 provinces and cities including Beijing, Shanghai, and Zhejiang. The police received a tip-off that someone was using the dark web and virtual currency to transmit information and conduct virtual currency transactions, especially the illegal sale of various types of private information of Chinese citizens. Furthermore, the police discovered that the suspect, Yan, conducted all transaction settlements in virtual currency during the process of selling citizen information. The amount involved in the conversion of virtual currency to cash was particularly large.
After an in-depth investigation, the facts of the crimes committed by Lin, a member of an underground bank, and Yan, who illegally sold citizen information, gradually became clear. In December 2023, the police took action simultaneously in Wenzhou, Nanjing, Beijing, and Harbin, capturing all the suspects involved in the case. The police seized more than 20 electronic devices and over 30 bank cards used for illegal activities at the scene. After counting, the case involved funds exceeding 2 billion yuan, and more than 10 virtual currency wallets were used for illegal transactions.
The Economic Crime Investigation Team of the Beijing Public Security Bureau stated that in China, virtual currency-related business activities are considered illegal financial activities. Using virtual currency as a medium for cross-border transactions and realizing the illegal exchange of foreign exchange and RMB are all considered illegal foreign exchange trading activities.