CCP chief has been arrested due to his alleged support of crypto. A high-flying regional Communist Party official was expelled from the party last month. For allegedly supporting crypto miners has been arrested. Meanwhile, individuals are being caught sending money abroad using crypto. The Chinese government is now more vigilant in finding and capturing people that are into supporting cryptocurrency.
Per the Epoch Times and the Xinhua news agency. Xiao Yi, the former Vice Chairman of the Jiangxi Provincial Committee of the Chinese Communist Party (CCP) – a man once tipped for great things in the Chinese political sphere – is now behind bars because he was allegedly a supporter of crypto.
The Supreme People’s Procuratorate, China’s equivalent to the Prosecutor General’s Office in the United States. Was handed Xiao Yi’s case after the Chinese Communist Party (CCP) found evidence that he had “taken bribes and abused his power” to name the few.
As reported, the Chinese Communist Party (CCP) claimed that Xiao Yi had been “supporting” crypto mining. In exchange for bribes and sex. And had been in constant attendance at parties such as orgiastic parties. Which are thrown by individuals, mining pools, or companies. More likely in return for allowing them to continue their activities.
More news on CCP Chief
A number of so-called “Big Data”-related firms have traditionally conducted crypto mining-related activities under the guise of Industry 4.0-related research. Often with the aid of obliging (and corrupt) officials. But since September’s crackdown, Beijing has been trying to stamp this out.
The government is thought to be hoping to make an example of Xiao Yi. So that others will be stopped thinking of buying or supporting cryptocurrency. Xiao Yi, Who has now been arrested, the Procuratorate announced. His case is “being further processed,” Xinhua noted, about the harsh penalties he might be getting. Including hard labor or life imprisonment, are definitely not out of the question.
The CCP began investigating the case back in May this year. And has sacked seven other officials as part of a crackdown on corruption. However, Xiao Yi is the first to be accused of crypto mining-related offenses. And is arguably the most senior of the bunch.
Meanwhile, the Chinese media have also been reporting on individuals being caught sending money abroad using crypto. Per the People’s Daily, the government and bodies such as the central People’s Bank of China are ramping up their monitoring of “foreign exchange market” trading and vowed to “severely crack down on the illegal trading of funds” used in “cross-border gambling” and “speculation”- including crypto.
The national foreign exchange regulator. Has also identified “cases of illegal cross-border transfer of funds using virtual currencies,” as well as individuals. Trying to avoid detection by using “fourth-party” over-the-counter payment platforms to buy and sell coins.
Elsewhere, China CITIC Bank – China’s seventh-largest lender, has also warned against the risks of crypto-related investments. Per the media outlet 66WZ, the bank included the dangers of investing in bogus “virtual currency and blockchain technology”-related projects in a list of nine scams to steer clear of.