Seven Bitcoin Traders Indicted In Taiwan In $50 Million Crypto Operation

Seven bitcoin traders got indicted in Taiwan after prosecutors charged them for operating a scam crypto investment that brought them $51 million from more than a thousand investors, according to the crypto news coming from Taiwan.

The 47-year-old man, who was the ringleader of the operation with the last name Lin, gathered the group and violated the Taiwanese banking and business laws which led to their arrest back in 2018 in June.

The scammers defrauded about 1,000 people across Taiwan and obtained $51 million by making false promises for making huge returns. The scheme promised a stunning 355% return after only one year of investing according to the Investigation Bureau in Taiwan.

Prosecutors believe that most of the investors didn’t receive any returns for their investment until February 2018 but later stopped receiving returns in April for good.

The government in Taiwan is taking strict measures to regulate cryptocurrencies and the use of bitcoin to fight money-laundering and terrorism funding. Back in September, the Taiwanese Cabinet approved several amendments to the Money Laundering Control Act and the Terrorism Financing Prevention Act in order to tighten supervision of the crypto market and banking industry.

Also, the government of Taiwan explicitly said that it will not go by the steps of China and South Korea to ban crypto activity overall.

The regulation of the crypto market is a burning topic all around the world including the United States since there is a mass skepticism for bitcoin adoption merely because of the regulation concerns after the president of the Federal Reserve Bank of New York said:

“Cryptocurrency doesn’t pass the basic test of what a currency should be. Currency is basically something with a store of value and bitcoin is not that.”