A jobless university student in China was sentenced to 6 months in prison for participating in virtual currency money laundering, profiting over 5,000 yuan

ChainCatcher news, on July 26, 2024, the People's Court of Liyang City, Jiangsu Province, made a ruling on a virtual currency money laundering case. A jobless man, known by the alias Xiao Wu, was sentenced to six months in prison, with a one-year probation, and fined 2,000 yuan for participating in virtual currency money laundering activities.

The case revealed that in November 2023, Xiao Wu contacted a "money laundering company" via Telegram to repay credit card debts incurred during his university years from investing in foreign exchange and virtual currencies. He purchased U coins on an exchange and then transferred and sold them through the "U-MATOU" app, making a profit from the price difference. Despite being warned that this was illegal, Xiao Wu continued his operations due to repayment pressure.

On December 22, 2023, the Liyang Public Security Bureau received a fraud report involving Xiao Wu's bank card. Investigations showed that Xiao Wu's bank account had a total of 13 transactions, amounting to over 25,000 yuan, with personal illegal profits exceeding 5,000 yuan.

After his arrest, Xiao Wu expressed remorse and admitted that if he had not been caught, he might have gone further down the path of crime.