๐จ China Sentences Crypto Launderers in Telecom Fraud Case โ๏ธ
๐๏ธ Individuals Sentenced for 500,000 RMB (~$69,000) Crypto Laundering
In Beijing, An, Chen, and Guo were sentenced for laundering 500,000 RMB (~USD 69,000) in proceeds from telecom fraud.
๐ค Who are they? Ordinary residents who acted as intermediaries to disguise illicit money flows.
๐ณ Whose accounts received the money? Funds were funneled into criminally designated accounts controlled by organized telecom fraud groups operating outside mainland China.
๐ Underlying crimes: Telecom fraud schemes that tricked victims with fake investments and impersonation scams.
๐ต๏ธ Modus Operandi: How the Laundering Worked
1๏ธโฃ Fraud proceeds collected โ Victims sent money to fraudsters.
2๏ธโฃ Launderers engaged โ An, Chen, and Guo were tasked with โcleaningโ the money.
3๏ธโฃ Crypto conversion โ They bought crypto (mainly USDT) through exchanges.
4๏ธโฃ Funds transferred โ Assets were sent to fraud group wallets, obscuring the source.
โ๏ธ Chinaโs โShould Have Knownโ Standard in Crypto Crime
๐ The Supreme Peopleโs Court ruled that crypto used to launder or conceal funds is a crime.
๐ The โshould have knownโ principle means defendants canโt claim ignorance โ negligence is punishable.
๐ Market Impact & Regulatory Outlook
๐ค Industry silence: Chinese crypto leaders remain quiet due to legal sensitivities.
๐ Regulatory tightening: Stricter oversight is expected to deter misuse.
๐ต USDT resilience: Stable at ~$1.00, with a market cap of $167.22B and $127.68B in daily trading volume.
๐ Big Picture
Chinaโs courts are sending a strong message: crypto is no safe haven for dirty money. This case sets a precedent for tougher enforcement, reshaping compliance expectations and investor confidence.