China Cryptocurrency Crackdown on 1,100 'Money Laundering' Crypto Farmers Receiving 1.5-5% Commissions
(Photo : Screenshot From Pexels Official Website) China Cryptocurrency Crackdown on 1,100 'Money Laundering' Crypto Farmers Receiving 1.5-5% Commissions

China crackdown on money laundering crypto farmers finds 1,100 people guilty of criminal activity helping launder illegal proceeds. The Chinese authorities have reportedly announced that over 170 criminal gangs have all been eliminated and over 1,100 suspects have been arrested.

China Crackdown on Crypto Money Laundring

According to the story by News.Bitcoin.com, this event was part of China's latest round of crackdown on certain criminal groups all providing cryptocurrency money laundering services for certain telecom fraudsters. In other words, cryptocurrency money laundering services for criminals.

China's Ministry of Public Security and the People's Republic of China had just announced the fifth round they are making of their "Broken Card" operation. It has reportedly been able to severely crack down certain illegal criminal groups all providing virtual currency money laundering services for illegal telecom fraud.

Cryptocurrency Farmers Get Commissions

The announcement notes that cryptocurrency was used by the criminal gangs to transfer the funds that were involved in this case. Police investigations have also revealed that these particular criminal gangs usually work along with certain "coin farmers" that help the fraudsters launder their money.

The farmers would reportedly register along with a number of cryptocurrency trading platforms in order to buy and sell cryptocurrencies in accordance to what the gang's specifications are. It was then announced that the money launderers get commissions which could range from 1.5% up to 5%.

Broken Card Operation Leads to 311,000 Arrests

The high illegal income actually attracts a significant number of people to participate in this criminal scheme. The announcement also states that the "Broken Card" operation has been able to eliminate 15,000 illegal criminal gangs with the arrest of 311,000 suspects. It was also noted that they had controlled 18,000 illegal industry institutions and outlets.

The Broken Card operation was launched back in October 10, 2021 after the State Council, the official cabinet of China, convened a certain inter-ministerial joint meeting in order to crack down on a particularly new type of illegal telecom network fraud. The cards that were reportedly affected are said to be primarily mobile phone cars as well as bank cards.

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China Crackdown on Money Laundring

China's own Payment & Clearing Association noted on Wednesday that the total number of crimes related to cryptocurrency were on the rise. It was noted that cryptocurrencies have become even more important as a channel for cross-border money laundering according to the association's statement.

It was also noted that they have also started to become a more popular way of paying for certain illegal gambling activities. The association reportedly notes that about 13% of the gambling sites actually support the use of cryptocurrencies. This, in turn, has made the tracking process even more difficult.

Chinese authorities have reportedly stepped up their total efforts to crack down on certain illicit activities that involve cryptocurrency. This is besides reiterating its very own cryptocurrency prohibition that was already issued several years before.

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Written by Urian B.

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