A criminal gang in Danzhou, Hainan Province, was sentenced for illegally absorbing millions of public deposits using virtual currency speculation as bait

According to BlockBeats, on June 18th, the Procuratorate of Danzhou City, Hainan Province, China, announced that a criminal gang recently illegally absorbed more than 10 million yuan in public deposits using the lure of high returns from investing in virtual currencies. The amount is huge and has been prosecuted for the crime of illegal absorption of public deposits. After trial by the Danzhou City Court, it was determined that the gang committed the crime of illegal absorption of public deposits and was sentenced to fixed-term imprisonment and fined. In 2023, the criminal gang conspired to illegally absorb public deposits through "contract trading" for profit in virtual currency trading. In order to attract more "customers" and deceive others, the gang established relevant communities online and registered companies offline to promote the "contract trading" business. They promised "customers" that if they invested funds in the gang for virtual currency trading, they would guarantee a daily rebate of 3% of the investment amount. In just a few months, the gang illegally absorbed 32 "customers" totaling more than 10 million yuan to speculate on virtual currency trading platforms. Due to the continuous depreciation of the purchased virtual currency, they were unable to continue giving rebates to the "customers" until the "explosion" occurred.