The Chinese Authorities Busted Digital RMB Money Laundering Operation

The Chinese Law enforcement agency stopped money laundering activities that involved Digital Yuan. China included four additional provinces into the testing operation of the Central Bank Digital Currency (CBDC). 

The increasing use of China CBDC in China has gained international recognition. Australia, South Korea, India, and Sweden are all developing their CBDCs. 19 G20 countries are investigating the asset, 16 of which are in the developmental or pilot stages.

China Bust Money Laundering Operation In The Fujian District

The law enforcement agencies in China have halted a money laundering activity involving approximately 200M Yuan that involved the use of the CBDC. According to local reports, the criminal activities were suspected of having taken place in the District of Fujian in the country, following the discovery of a helpful clue in August. 

After confirming that there were money misappropriation activities in the district, the various security agencies in the district swung into action by creating a unit to suspend the operations. Moumou Zhang and Moumou Lai conducted the criminal operation. The report confirmed that the operation used the CBDC to carry out illegal operations. 

According to the statement released, the police confirmed that the Zhang and Lai-led operation used virtual assets, digital Yuan accounts and Digital RMB to supply criminal fund settlement services for various illegal activities, including electronic fraud and overseas gambling. It was also confirmed that the funds involved in the operation are large, with the involvement of many people spread all over 13 provinces in China. 

Digital RMB Gaining Local And International Recognition

Since a considerable number of regions gained access to the Digital Yuan of China two years ago, stats have shown that its usage as means of payment has been on the rise ever since. The latest provinces in the testing operation include Sichuan, Hebei, Jiangsu, and Guangdong. 

The inclusion of other provinces draws the Central Bank Digital Currency (CBDC) to a full-fledged launch. China has been keen on trying out the tech, considering its success at testing on essential occasions. The rise to fame of the digital RMB in numerous provinces in China has prompted many other countries to begin the observation of their native CBDC endeavors more closely. 

A liberal senator in Australia recently presented a bill to moderate the cryptocurrency marketplace. This bill also specified transparency rules for using imported CBDC in the nation. These G20 nations are unwilling to fall behind in the technology race, and some people worry that a CBDC may weaken the currency. However, it is still unclear if a digital renminbi will be able to help China get out of its current slump.

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