Chinese courts have sentenced individuals for using cryptocurrency to launder funds, marking a significant intensification of measures against digital asset misuse.
Details of the Money Laundering Case
In a case involving the laundering of 500,000 RMB (approximately $74,000), three defendants—An, Chen, and Guo—utilized an online platform to acquire cryptocurrency, enabling them to transfer funds to accounts tied to criminal activities. All operations were conducted through cryptocurrency exchanges.
New Liability Standard in Crypto Crimes
China has implemented a 'should have known' standard, holding individuals accountable for using crypto in crimes, even if they claim ignorance. This represents an extension of compliance expectations beyond mere acknowledgment of digital asset use.
Impact on the Crypto Market in China
Data from CoinMarketCap shows Tether (USDT) maintains a steady value around $1.00, with a market cap of $167.22 billion, highlighting major activity amidst legal actions in China.
The legal verdicts regarding money laundering through cryptocurrency in China underscore the seriousness of regulatory approaches to digital assets and may significantly impact the market in the future.
