China’s Raids on Forex Gangs Point to Crypto Ban Being Flouted

  • Crypto tied to billions of dollars in underground transactions
  • Cases are further signs of holes in China’s digital-asset ban
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Police raids in China to stem billions of dollars in illicit foreign-exchange transactions have highlighted the continuing use of cryptocurrencies there despite Beijing’s prohibition of digital-asset trading.

Alleged cases involving crypto flagged in May alone include an underground bank tied to 13.8 billion yuan ($1.9 billion) of illegal transfers, a gang implicated in about 2 billion yuan of unauthorized conversions and unlawful money changers that in some cases transacted more than 1 billion yuan.