The authorities destroyed two underground operations in Fujian and Hunan, and the police also froze 149 million yuan worth $20 million linked to the USDT banking operations.
Chinese police have unearthed a $1.9 billion underground banking racket involving popular stablecoin Tether (USDT).
The underground banking operations operated in the Chinese city of Chengdu and used the USDT stablecoin to exchange foreign currencies. The city police issued a media report highlighting the details of the underground operations and said they had arrested 193 suspects across 26 provinces.
The Police report noted that the underground USDT banking operations began in January 2021 and were primarily used to smuggle medicine, cosmetics, and investment assets overseas.
