Nomic

The economic investigation team in Yanbian, Jilin, China, has cracked a case involving an underground money house that used virtual currency to transfer funds, with the amount involved exceeding 1 billion yuan

ChainCatcher news, according to reports from China National Radio, recently, in Yanbian Korean Autonomous Prefecture, Jilin Province, China, a criminal network involving underground banks with a case amount exceeding 1 billion yuan and spanning 10 provinces across the country was cracked down, with over 20 criminal suspects arrested. At the same time, the successful investigation of this case has also unveiled the criminal underbelly of using virtual currency to provide channels for fund transfers. This case is characterized by family-style operations, meaning that the gang members are mostly relatives and friends. They disguise themselves as overseas companies, engaging in low buying and high selling in the domestic and foreign exchange black market, profiting from the exchange rate differences.The main suspect, Zhang Liang, confessed that they borrowed foreign exchange funds from "peers" or used methods such as "exchanging" virtual currency to purchase virtual currency with RMB from cryptocurrency traders and dealers within the country, and then sold the virtual currency overseas to obtain foreign exchange, thereby indirectly achieving the goal of transferring illegal gains from within the country to overseas. Yanbian Economic Investigation stated that by analyzing the sources and uses of funds in underground bank cases handled by public security organs in the prefecture from 2020 to 2023, it has been verified that a large proportion of the involved funds are from labor services, commerce, and tourism, while the rest are suspected funds related to fraud, corruption, and other illegal activities.

"Federal Reserve's Mouthpiece": Due to the favorable economic situation, the Federal Reserve can leisurely decide when and whether to cut interest rates

ChainCatcher news, according to Jinshi reports, Federal Reserve Chairman Powell began a two-day testimony to Congress on Tuesday, conveying a simple message: due to the strong economic situation, the Federal Reserve can calmly decide when and whether to cut interest rates.Wall Street Journal reporter Nick Timiraos, known as the "Fed's mouthpiece," pointed out that Federal Reserve officials are encouraged by recent inflation data, which indicates that price pressures remain at moderate levels, suggesting that inflation may soon be closer to the Fed's 2% target. However, they are concerned about potential policy changes from the Trump administration, including a more aggressive use of tariffs compared to his first term, which could raise the prices of imported goods and undermine their final efforts to combat inflation.Timiraos stated that the U.S. economy has proven to be much stronger. Driven by robust consumer spending, high asset prices, and the lingering effects of the aggressive stimulus measures taken by the U.S. government in 2020 and 2021 to support the economy, the U.S. economy has so far withstood the impact of these stricter policies. By the end of last year, the Fed's preferred inflation measure—the PCE price index—had fallen to 2.6%, down from a peak of 7.2% in 2022.
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