China paves the way for jail time for those who raise funds through crypto.
China continues to expand its crackdown on crypto. The country changed its Penal Code to make it illegal to collect money from the public via virtual currency. Chinese courts can now imprison those found guilty of raising funds from the public through token sales. The change will take effect from 1 March. This represents China’s latest foray into cryptoassets.
In fact, China has banned fundraising through crypto since 2017. However, with this new change, Chinese courts will now officially be able to sentence criminals. The term of imprisonment ranges from three to ten years, depending on the funds raised. The fund raised will be considered “large” if it is more than 100,000 yuan versus approximately $16,000, and “very large” if it is more than 500,000 yuan, corresponding to approximately $79,000.
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