China arrests 1,100 over cryptocurrency money laundering


BEIJING (AFP): China has arrested more than a thousand people for using the profits from crime to buy cryptocurrencies, security officials said, as part of a growing crackdown on the industry.

The country's bitcoin mines power nearly 80 percent of the global trade in cryptocurrencies, although trading in China is banned.

Officials have started to turn a sharp eye towards cryptocurrency miners to prevent speculation and stamp out money laundering.

Chinese police busted a network of 1, 100 people involved in laundering money by buying cryptocurrencies, the ministry of public security said in a statement dated Wednesday.

The launderers charged clients commission to convert illegal proceeds into virtual currencies via crypto exchanges, the ministry said, without outlining the amount of money involved.

China banned trading in cryptocurrencies in 2019 and is increasingly tightening restrictions on bitcoin mining.

In April, the northern region of Inner Mongolia closed down all its cryptocurrency mines, claiming they failed to meet annual energy consumption targets.

The region accounted for eight per cent of the computing power needed to run the global blockchain -- a set of online ledgers to record bitcoin transactions.

That is higher than the amount of computing power dedicated to blockchain in the entire United States.

The northwestern province of Qinghai announced a similar ban on cryptocurrency mining on Wednesday, but no data is available about the size of the operations in the region.

Bitcoin values tumbled in May on the back of a warning by Beijing to investors against speculative trading in cryptocurrencies.

China is in the midst of a wide-ranging regulatory crackdown on its fintech sector, whose biggest players have been hit with large fines after being found guilty of monopolistic practices.

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 46
Cxense type: free
User access status: 3
Join our Telegram channel to get our Evening Alerts and breaking news highlights

China , cryptocurrency , arrest , money , laundering

   

Next In Aseanplus News

Thailand: 21 Covid-19 cases found among over 10,000 tourists visiting under Phuket sandbox project
United States to stress need for 'guardrails' in Sherman's talks in China
Vietnam says more US vaccine donations expected after first five million doses
US accepts applications by citizens of five nations for protected status - Myanmar now is included
US backs Taiwan’s move to open de facto embassy in Lithuania
Coronavirus: ‘Hong Kong delays plan to ease rules on vaccinated arrivals, fears move will jeopardise cross-border travel with mainland China’
Typhoon In-Fa lands in east China; business hub Shanghai cancel all flights
Cambodian police seize mammoth 206kg drugs in Phnom Penh
Laos: Vientiane Logistics Park project prepares for soft opening, linking with Laos-China railway
Up to 100 artistes from Hong Kong, Taiwan, China donate to Henan flood relief

Stories You'll Enjoy


Vouchers