Chinese Authorities Block Bank Accounts Of Crypto Traders
Thousands of Chinese crypto traders faced blocking their bank cards and accusations of money laundering.
Combatting OTC exchangers
This investigation started last Thursday, June 4. One of the victims whose card was blocked was the main developer of the OTC exchanger, as well as the ex-employee of Bixin, Sun Xiaoxiao.
The authoritative crypto-media CoinDesk believes that this campaign may have local nature, which means they are aimed at crypto-traders who buy and sell digital assets using OTC exchangers. The matter is the police were only interested in a limited number of people whose cards were blocked.
Sun Xiaoxiao makes an accent that previously the Chinese cyber police did not undertake such mass repressions, since they used to block only those accounts that were associated with various kinds of fraud, gambling, etc.
“Now there are also OTC merchants who had their bank accounts frozen because of questions over the source of the coins they bought. That means, besides ‘dirty money,’ there are also ‘dirty coins‘ circulating,” – Sun wrote.
Cryptocurrencies are gaining popularity
Xiaoxiao believes, such a policy of the PRC is directly related to the growing popularity of digital currencies. The difference is that Bitcoin used to be the favorite, and now in China Tether (USDT) came out on top.
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