TechFlow news — Recently, the Supreme People's Procuratorate and the State Administration of Foreign Exchange jointly released eight typical cases of cracking down on foreign exchange-related criminal offenses.
Regarding cases in which virtual currency was used as a medium for illegal foreign exchange trading, an official from the Fourth Prosecutorial Department of the Supreme People's Procuratorate pointed out that in China, virtual currencies do not have legal status equivalent to that of fiat currency, and related business activities are considered illegal financial activities.
The official stated that an increasing number of illegal foreign exchange trading crimes are now being carried out through virtual currency transactions. Prosecutorial organs have found in their work that using virtual currency as a transaction medium to indirectly convert foreign exchange and RMB represents a critical link in illegal foreign exchange trading chains and should be punished according to law. Effectively guiding evidence collection and conducting review assessments regarding criminal acts involving virtual currency transactions require familiarity with the technical characteristics of such transactions, so as to improve the quality and efficiency of case handling.
