A high-ranking regional Communist Party official who was expelled from the party last month for allegedly supporting crypto miners has been arrested. Meanwhile, people are caught sending money abroad using crypto.
According to The Epoch Times and Xinhua News Agency, Xiao Yi, the former vice chairman of the Jiangxi Provincial Committee of the Chinese Communist Party (CCP), a man who once received good tips in the Chinese political sphere, is now behind bars.
the Supreme People’s Prosecutor’s Office, China’s equivalent to Office of the Attorney General of the Nation In the United States, the case of Xiao Yi was handed over to him after the CCP found evidence that he had “taken bribes and abused his power.”
As reported, the CCP claimed that Xiao Yi had been “supporting” crypto mining in exchange for bribes and sex, and had attended orgiastic parties hosted by individuals, mining pools, or companies, likely in exchange for allowing them to continue their activities. .
Various apparently “Big Data” related firms have traditionally carried out crypto mining related activities under the guise of Industry 4.0 related research, often with the help of helpful (and corrupt) officials. But since the September crackdown, Beijing has been trying to end this.
The government is believed to hope to set an example for Xiao Yi, who has now been arrested, the prosecution announced. His case is “being processed further,” Xinhua noted, but harsh penalties including forced labor or life imprisonment are not out of the question.
The CCP began investigating the case in May this year and has fired seven other officials as part of a crackdown on corruption; However, Xiao Yi is the first to be charged with crimes related to crypto mining and possibly the highest ranking. the group.
Meanwhile, Chinese media has also been reporting on people caught sending money abroad using crypto. According to the People’s Daily, the government and agencies such as the central People’s Bank of China they are increasing their monitoring of “currency market” trading and vowing to “crack down on illegal trading of funds” used in “cross-border gambling” and “speculation”, including encryption.
The national currency regulator has also identified “cases of illegal cross-border transfer of funds using virtual currencies”, as well as individuals attempting to avoid detection by using “quarter” OTC payment platforms to buy and sell currencies. .
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Learn more:
– China’s crackdown on crypto mining targets PC rooms and ‘home miners’
– Central Bank of China: NFT, Metaverso ‘could become money laundering tools’
– Crypto crime continues to rise in China despite crackdown, authorities warn
– Some Chinese Crypto Websites ‘Still Operational’, State Media Says