Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Chinese police have seized $4.2 billion cryptos from PlusToken Ponzi crackdown

Chinese police have seized $4.2 billion cryptos from PlusToken Ponzi crackdown

Crypto assets worth more than $4.2 billion have been seized by Chinese police during the massive PlusToken Ponzi scheme crackdown, according to a new court ruling.
In a November 19 judgment made public on Thursday, the Jiangsu Yancheng Intermediate People's Court has detailed the breakdown for the first time of all the crypto assets seized by Chinese police related to the PlusToken case.

A total of 194,775 BTC, 833,083 ETH, 1.4 million LTC, 27.6 million EOS, 74,167 DASH, 487 million XRP, 6 billion DOGE, 79,581 BCH, and 213,724 USDT have been seized by Chinese law enforcement from seven convicts during the crackdown.

These assets, at today's prices, are worth over $4.2 billion in total.

As part of the ruling, the court said "the seized digital currencies will be processed pursuant to laws and the proceeds and gains will be forfeited to the national treasury."

However, the Yancheng Intermediate People's Court doesn't elaborate on how much of the seized crypto assets have been or will be "processed" or via what method exactly.

The PlusToken criminal case was initially ruled on September 22 by a lower-level district court in the city of Yancheng in China's Jiangsu province.

Local media reported at the time that the masterminds behind the crypto Ponzi scheme swindled more than 2 million people for more than 50 billion yuan, or $7.6 billion.

But details of the initial judgment were not disclosed publicly as several convicts of the case had filed appeals to a higher level court.

The Yancheng Intermediate People's Court has denied the appeals and sided with the district court in the November 19 final judgment and disclosed details pertaining to the criminal case.

According to the latest ruling, the PlusToken operation officially started in May 2018 and advertised a non-existent crypto arbitrage trading platform. It promised users attractive daily payouts but would require them to deposit at least $500 worth of crypto assets in order to participate.

Between April 6, 2018 and June 27, 2019, the pyramid scheme lured in over 2.6 million members across 3,293 layers, the court said.

During this period, the scheme absorbed more than 314,000 BTC, 117,450 BCH, 96,023 DASH, 11 billion DOGE, 1.84 million LTC, 9 million ETH, 51 million EOS, and 928 million XRP.

At the lowest prices between May 1, 2018 and June 27, 2019, these crypto assets were worth at least more than 14.8 billion yuan, or $2.2 billion, the court said. They would be worth over $11 billion at today's prices.

A total of 15 people have been convicted so far, according to the ruling. They are sentenced to between two to 11 years behind bars with fines between $100,000 to $1 million.

The seized crypto assets aside, the court said one convict had successfully laundered more than 145 million yuan, or $22 million, worth of cryptocurrencies into Chinese yuan.

The police identified the trails of about $19 million of those laundered funds, which were spent by the convicts or their families on purchasing luxury cars, two dozens of real estate properties in China as well as insurance policies in Hong Kong.

The Block reported previously that Chinese police have ramped up efforts in recent years cracking down internet-based criminal activities, some of which may have also used cryptocurrency to defraud victims or launder proceeds.

These events have therefore led to a wide bank account freeze issue since this year for China's over-the-counter trading desks and users who are taking collateral damage.
AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Woman Receives Gift Card for Christmas – Discovers It Is ‘Worth’ 63,000,000,000,000,000 Pounds
United Nations Calls for Global Action Against Disinformation and Hate Speech Online
Tucker Carlson warns of an inevitable clash in Western societies over mass migration
OpenAI CEO Sam Altman praises the rapid progress of Chinese tech companies.
Poland's President Karol Nawrocki ENDS support for Ukrainian citizens:
Italy's PM Giorgia Meloni highlights record employment and economic growth
Chancellor Friedrich Merz Re-elected as CDU Leader, Opposes AfD Influence
Trump Directs Government to Release UFO and Alien Information
Trump Signs Global 10% Tariffs on Imports
UK Government Considers Law to Remove Prince Andrew from Royal Line of Succession
Two teens arrested in France for alleged terror plot.
US Supreme Court Voids Trump’s Emergency Tariff Plan, Reshaping Trade Power and Fiscal Risk
Greek Prime Minister Kyriakos Mitsotakis advocates for a ban on minors using social media.
Meanwhile in Time Square, NYC One of the most famous landmarks
Jensen Huang just told the story of how Elon Musk became NVIDIA’s very first customer for their powerful AI supercomputer
Former British Prince Andrew Arrested on Suspicion of Misconduct in Public Office
Former President Yoon Suk Yeol Sentenced to Life in Prison for Abuse of Authority
Unitree Robotics founder Wang Xingxing showcases future robot deployment during Spring Festival Gala.
German Chancellor Friedrich Merz calls for real name use on social media.
Italian Police Arrest Man After Alleged Attempt to Abduct Toddler at Bergamo Supermarket, Child Hospitalised With Fractured Femur
British Tourist Arrested at Hong Kong Airport After Meltdown and Vandalism
European Commission Plans Purchase Incentives Limited to Vehicles Manufactured Largely in the EU
French District of Pas-de-Calais Introduces Immediate License Suspension for Drivers Using Mobile Phones
Volkswagen Targets €60 Billion in Cost Reductions as Sales Decline and Global Pressures Intensify
Eighty-Year-Old Lottery Winner Sentenced to 16.5 Years for Drug Trafficking
Rubio Calls for Sweeping U.N. Reform, Saying It Has Failed to End Wars in Gaza and Ukraine
10,000 Condoms Distributed at Winter Olympics 2026 Athlete Village Depleted Within 72 Hours
Poland's President Advocates for Evaluating Independent Nuclear Weapons Development
Mayor of Serdobsk in Russia’s Penza Region Resigns After Housing Certificates Granted to Migrant Family Trigger Public Outcry
China’s EV Makers Face Mandatory Return to Physical Buttons and Door Handles in Driver-Distraction Safety Overhaul
UK Green Party Considering Proposal to Legalize Heroin for an Inclusive Society
OpenAI and DeepCent Superintelligence Race: Artificial General Intelligence and AI Agents as a National Security Arms Race
We will protect them from the digital Wild West.’ Another country will ban social media for under-16s
Heineken announces cut of 6,000 jobs due to declining beer demand
Apple iPhone Lockdown Mode blocks FBI data access in journalist device seizure
Belgium: Man Charged with Rape After Faking Payment to Sex Worker
KPMG Urges Auditor to Relay AI Cost Savings
Canada Opens First Consulate in Greenland Amid Rising Geopolitical Tensions
China unveils plans for a 'Death Star' capable of launching missile strikes from space
Investigation Launched at Winter Olympics Over Ski Jumpers Injecting Hyaluronic Acid
U.S. State Department Issues Urgent Travel Warning for Citizens to Leave Iran Immediately
Wall Street Erases All Gains of 2026; Bitcoin Plummets 14% to $63,000
Eighty-one-year-old man in the United States fatally shoots Uber driver after scam threat
Political Censorship: French Prosecutors Raid Musk’s X Offices in Paris
AI Invented “Hot Springs” — Tourists Arrived and Were Shocked
France Begins Phasing Out Zoom and Microsoft Teams to Advance Digital Sovereignty
Tech Market Shifts and AI Investment Surge Drive Global Innovation and Layoffs
Global Shifts in War, Trade, Energy and Security Mark Major International Developments
Markets Jolt as AI Spending, US Policy Shifts, and Global Security Moves Drive New Volatility
Tesla Ends Model S and X Production and Sends $2 Billion to xAI as 2025 Revenue Declines
×