Bitcoin is defined as a special Internet commodity in China. At this stage, financial institutions are not allowed to provide bitcoin related products or services. Bitcoin cannot and should not be used as currency. Bitcoin is not issued by the monetary authorities and has no monetary attributes such as statutory compensation and coercion. It is not a real currency.
Why is virtual currency not filed?
1. If the virtual currency transaction is cheated, it is unlikely that the public security department will file a case. Because virtual currency trading scams generally involve a large number, wide coverage, small amount and strong anonymity.
2. The public security department can't identify the virtual currency price of the information displayed on the trading platform, and the victim can't evaluate the use value of the virtual currency when suffering from the virtual currency scam, so it is impossible to determine whether the case exceeds the filing standard.
3. It is difficult for the public security department to collect, investigate and collect evidence, and it is impossible to pursue the pursuit. Because the information content of most virtual currency fraud teams is not public, it is difficult to investigate and collect evidence.
Virtual currency issuance financing is essentially an unauthorized illegal public financing behavior. Investors should not be carried away by "high returns" because they are suspected of illegal sales of tokens, illegal fund raising, financial fraud, pyramid schemes and other illegal and criminal activities.
What are the hazards of virtual currency trading?
First, it may bring financial losses and become an "accomplice" in illegal fund-raising or money laundering.
Virtual currency is often due to the lack of market depth. After irrational prosperous thinking or sudden panic, the market price fluctuates greatly, and it is difficult to buy or sell at a reasonable price. With market manipulation and liquidity risk, it is easy to cause economic losses.
Second, I believe that the high-yield scam of virtual currency will bring financial losses.
Some fraud gangs use the fiery concept of virtual currency for hype, while others use celebrity "platforms" for publicity, taking "high returns" as the temptation, claiming that "money only goes up but not down", "investment cycle is short, returns are high and risks are low", which is very deceptive.
Third, being induced to "develop offline" has many illegal risks.
Through public publicity, criminals use "static income (profit from currency appreciation)" and "dynamic income (profit from offline development)" as bait to attract public investment, lure investors and developers to join, and constantly expand the pool of funds, which is manifested in illegal fund-raising, pyramid schemes, fraud and other illegal acts.
4. Providing "help" or "service" for other people's virtual currency transactions, or becoming an "accomplice to money laundering".
Legal basis:
Article 193rd of the Criminal Law of People's Republic of China (PRC) has one of the following circumstances, which constitutes the crime of loan fraud. Whoever defrauds a bank or other financial institution of loans for the purpose of illegal possession, if the amount is relatively large, shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention, and shall also be fined not less than 20,000 yuan but not more than 200,000 yuan; If the amount is huge or there are other serious circumstances, he shall be sentenced to fixed-term imprisonment of not less than five years but not more than ten years, and shall also be fined not less than 50,000 yuan but not more than 500,000 yuan; If the amount is especially huge or there are other especially serious circumstances, he shall be sentenced to fixed-term imprisonment of not less than 10 years or life imprisonment, and shall also be fined not less than 50,000 yuan but not more than 500,000 yuan or confiscated property:
(a) fabricating false reasons such as introducing funds and projects;
(two) the use of false economic contracts;
(3) using false documents;
(four) the use of false proof of property rights as a guarantee or repeated guarantee beyond the value of collateral;
(5) obtaining loans by other means.
Article 19 of the Regulations on the Prevention and Disposal of Illegal Fund-raising is suspected of illegal fund-raising in the following acts within their respective administrative areas. The lead department in handling illegal fund-raising shall promptly organize relevant industry authorities, regulatory authorities and branches of the State Council financial management department to conduct investigation and determination:
(a) the establishment of Internet enterprises, investment and investment consulting enterprises, various trading places or platforms, farmers' professional cooperatives, mutual funds organizations and other organizations to absorb funds;
(2) Issuing or transferring equity and creditor's rights, raising funds, selling insurance products, or absorbing funds in the name of engaging in various asset management, virtual currency, financial leasing business, etc.;
(three) in the sale of goods, services, investment projects and other commercial activities. Absorb funds in the form of promising to pay monetary, equity, physical and other returns;
(four) in violation of laws, administrative regulations or the relevant provisions of the state, through the mass media, instant messaging tools or other means to publicly spread the information of absorbing funds;
(5) Other acts suspected of illegal fund-raising.