Application of Criminal Law (Article 7 of the Criminal Law)

If a Chinese citizen commits acts that harm national security or major interests of China abroad (such as: money laundering, fraud, cybercrime), even if the act occurs outside the country, China has the right to hold them criminally responsible.

In cases involving transnational online fraud or cross-border money laundering (for example, illegal fundraising or pyramid schemes using cryptocurrency), even if the servers or operating entities are overseas, as long as it affects investors or interests within China, Chinese police may initiate an investigation or issue a red notice.