China arrests over 1,100 suspects for crypto-related money laundering

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Police in China arrested over 1,100 individuals suspected of utilizing cryptocurrencies to launder unlawful proceeds from phone and Internet scams in a current crackdown, the Ministry of Public Security stated.

The arrests got here as authorities in China step up their crackdown on cryptocurrency buying and selling. Last month, three business our bodies banned crypto-related monetary and fee providers, and the State Council, China’s cupboard, vowed to clamp down on bitcoin mining and buying and selling.

The public safety ministry stated that by Wednesday afternoon police had busted greater than 170 prison teams concerned in utilizing cryptocurrencies to launder money.

The money launderers charged their prison shoppers a fee of 1.5% to five% to transform unlawful proceeds into digital currencies by way of crypto exchanges, the ministry stated by way of its official Wechat account.

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China’s Payment & Clearing Association stated on Wednesday that the variety of crimes involving the usage of digital currencies is on the rise.

Because cryptocurrencies are nameless, handy and international in nature, “they’ve more and more change into an essential channel for cross-border money laundering,” the affiliation stated in an announcement.

Cryptocurrencies have already change into a well-liked technique of fee in unlawful playing actions. Nearly 13% of playing websites help the usage of digital currencies, and blockchain know-how has made it harder for authorities to trace the money, based on the affiliation.

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