Virtual Currency Exchange Merchant Provides Money Laundering Services for Fraud Gang, Hefei Police Arrest Suspect Across Provinces

Odaily News According to a report by Zhong'an Online, while handling a telecommunications network fraud case involving 260,000 yuan, the Hefei Xinzhan Public Security Bureau discovered that a virtual currency exchange merchant was providing money laundering services for a fraud gang. On January 15, 2026, the police arrested the suspect, Liu, in Sichuan. The investigation revealed that Liu has been engaged in virtual currency trading since 2020, contacting upstream buyers via overseas messaging apps and conducting transactions with telecommunications fraudsters on illegal trading platforms. In June 2025, after selling virtual currency on an illegal platform, Liu withdrew the criminal proceeds deposited into his account to his personal WeChat account. His actions are suspected of constituting the crime of concealing or disguising the proceeds of crime. The case is currently under further investigation.