(ORDO NEWS) — The Chinese Supreme Court has toughened its stance on cryptocurrencies, enshrining them in the law in the list of illegal methods of raising funds.
Under the new interpretation, which comes into force on March 1, individuals illegally dealing in cryptocurrencies can be fined up to 500,000 yuan (6,658,895 rubles) and face up to ten years in prison.
A new, legally enforceable view of cryptocurrencies has emerged following numerous government decisions against the technology.
The ban on cryptocurrency mining was followed by a real hunt for illegal activities in the crypto space, which prompted the majority of Chinese miners to move to “less dangerous waters”.
Under the new legislation, suspects will be prosecuted under Article 176 of China‘s criminal law, which provides for prison sentences of three to 10 years and fines of 50,000 yuan (665,889 rubles) to 500,000 yuan (6,658,895 rubles) for crimes related to with large sums of money.
Less serious crimes are punishable by imprisonment for up to three years and fines ranging from 20,000 yuan (266,355 rubles) to 200,000 yuan (2,663,558 rubles).
It is noted that the legislation contains an extremely broad definition of “cryptocurrency transactions”. This means that almost any transaction related to cryptocurrency can fall under this term.
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