Chinese police uncover $1.9 billion underground bank using USDT

Chinese police have uncovered an illegal Tether (USDT) operation that violates China's virtual currency ban. According to CryptoNews, on the 16th (local time), the Chengdu Public Security Bureau of China
Through a press release, the company announced that it had detected the operation of an underground bank using USDT worth $1.9 billion. The investigation began in November 2022 when the operation of the underground bank was discovered.
The investigation found that starting in January 2021, the company was primarily used to smuggle medicines, cosmetics and investment assets overseas.
Since the investigation began, authorities have arrested 193 suspects in 26 provinces and dismantled two major underground operations in Fujian and Hunan.
At its heart is the stablecoin Tether (USDT), which was used to circumvent national foreign exchange regulations and facilitate illegal foreign exchange transactions.
Meanwhile, the Chinese government has taken strict measures to curb the adoption of virtual currencies and ban related activities.
It has taken a strong anti-cryptocurrency stance. Also, since 2021, it has banned and cracked down on cryptocurrencies and cryptocurrency exchanges.