NewsHK

Shanghai Court Jails Five Over $29 Million Crypto Scheme

7/1/2026

SHANGHAI — A Shanghai court has sentenced five people to prison for operating a $29 million cryptocurrency scheme used to move money illegally out of China.

The case began when Chinese authorities flagged unusual transactions linked to a company in July 2024.

How the Scheme Operated The company served as a conduit, using cryptocurrency to facilitate illegal overseas transfers — in practice, a crypto-rails substitute for the licensed foreign exchange channels that China requires residents and businesses to use.

The specific digital assets involved and the precise transfer mechanics have not been reported. The Sentencing Five defendants received prison terms, though individual sentence lengths have not been disclosed.

Keep reading

Read the full story

Open on NewsHK