What attracted much attention was that the original judgment, the seized digital currency was handled in accordance with the law, and the funds and income obtained were confiscated according to law and turned over to the state treasury.
According to the second instance ruling of Yancheng Municipal Peoples court, the case involved eight virtual tokens, including bitcoin, bitcash, Dashi coin, dog coin, letcoin, Ethereum, grapefruit coin, and REBO, with the equivalent of RMB 14.8 billion.
320000 bitcoin seized
The plustoken platform used to be the largest capital dish in the currency circle. It uses blockchain technology as a gimmick and digital currencies such as bitcoin as trading media to provide digital currency value-added services. In essence, it is network pyramid selling.
In September this year, the Yancheng Municipal Intermediate Peoples court made a judgment in the first instance of the plustoken case. The defendants Chen Bo, Ding zanqing, Peng Yixuan, Gu Zhijiang, Yuan Yuan Yuan, Lu Jiaolong, Lu Wanlong, Zheng Jing, Wang Renhu, he Sisi, Liu Jia, Liu Shuai, Peng Bo and Wu Jianhong committed the crime of organizing and guiding pyramid selling activities. The defendants, Chen Tao, were sentenced to two to eleven years for covering up and concealing their crimes He shall be sentenced to fixed-term imprisonment of not less than years and shall also be fined.
On November 26, according to the criminal ruling of Yancheng Municipal Intermediate Court, the court held that the facts identified in the original judgment were clear, the evidence was reliable and sufficient, the conviction was accurate, the sentencing was appropriate, and the trial procedure was legal. The final ruling rejected the appeal and upheld the original judgment.
The Ministry of public security has previously released relevant details of the case. The case is the first online pyramid selling case detected by the public security organ, which uses bitcoin and other digital currencies as the trading medium. It involves more than 2 million participants and has more than 3000 layers of hierarchical relationships. The total value of digital currency involved in the case exceeds 40 billion yuan.
According to the second instance ruling of Yancheng Municipal Peoples court, the case involved eight virtual tokens, such as bitcoin, bitcash, Dashi coin, dogcoin, letcoin, Ethereum, grapefruit coin and REBO.
According to the price determination center of Yancheng Price Bureau, based on the lowest price from May 1, 2018 to June 27, 2019, the above-mentioned eight digital currencies can be converted into RMB 14.8 billion.
Specifically, Suzhou Ruiya certified public accountants has identified the electronic bill of plustoken platform used to collect the address of digital currency wallet paid by members: as of June 27, 2019, plustoken platform has collected 314200 BTCs, 117500 BCH, 96000 dash, 11600 Doge, etc There were 1847700 LTC, 9174200 eth, 51 million EOS and 928 million XRP.
Exposure of MLM process
With the disclosure of the final judgment, the online pyramid selling process of plustoken was also exposed.
According to the ruling of Yancheng intermediate peoples court, in early 2018, the defendant Chen Bo planned to set up the plustoken platform on the Internet to carry out pyramid marketing activities based on the concept of blockchain, and successively employed the team of defendants Zheng Jing and Wang Renhu to develop, operate and maintain the app, and established the domain name of www.plToken.io The platform app was officially launched on May 1, 2018.
At the same time, the defendants Chen Bo, Ding zanqing, Peng Yixuan, Gu Zhijiang and others set up the highest marketing team of plustoken platform - Shengshi alliance community. Through wechat group, Internet, irregular meetings, concerts, tourism and other means, the defendants released the introduction, bonus system, operation mode and other publicity materials of plustoken platform, and fabricated and exaggerated the strength and profit prospects of the platform Publicity and promotion.
Since May 2018, the defendants Chen Bo and Yuan Yuan successively recruited the defendants Liu Shuai, Chen Tao, he Sisi, Liu Jia, Peng Bo, Lu Jiaolong, and Wu Jianhong to engage in the customer service and currency allocation work of plustoken platform. In August 2018, at the invitation of the defendant Ding zanqing, the defendant Lu Wanlong joined the plustoken platform and was responsible for introducing and connecting with the organizers and news media of other blockchain activities, promoting the platform and expanding the influence.
Plustoken platform has no actual business activities. It spreads in China, South Korea, Japan and other countries through the Internet. In the name of providing digital currency value-added services, the platform claims to have the function of smart dog moving bricks (i.e., arbitrage transactions in different exchanges at the same time to earn price differences), but it does not have this function. The platform requires participants to obtain the membership account of the platform through online recommendation, pay a threshold fee of more than $500 in digital currency, and open the smart dog to obtain the platform income. According to the joining order of recommended development, members form the upper and lower levels, and according to the number of development offline members and the number of investment funds, the membership level is divided into five levels: Ordinary members, big family, big man, big God and Chuangshi. The platform has three main income modes, namely, intelligent brick moving income, link income and senior management income, so as to carry out rebate, directly or indirectly The number of exhibition personnel and payment amount shall be taken as the rebate basis.
In January 2019, in order to evade the legal attack, Chen Bo and Yuan Yuan moved the platform customer service team and coin allocation team to Sihanouk City, Cambodia, and continued to carry out pyramid marketing activities on the plustoken platform.
The background electronic data of plustoken platform was identified by Shanghai Chenxing electronic data judicial authentication center: from April 6, 2018 to June 27, 2019, a total of 2693494 registered member accounts were recorded on the platform (accounts with duplicate ID cards removed), among which 1594871 accounts were authenticated, and the maximum level was 3293 layers.
In addition, from June 27 to 28, 2019, knowing that Chen Bo, the person in charge of the plustoken platform, was captured by the public security organ and the relevant digital currency was the criminal income, Chen Tao still actively colluded with Lu Jiaolong, transferring and harboring 1378 bitcoin (BTC), 112 dash (dash), 12.24 million doge (Doge), 3334 letcoin (LTC) and 397 bitcoin (BCH) There were 300000 pieces of EOS and 2777 pieces of eth.
According to the price determination conclusion issued by the price determination center of Yancheng Price Bureau, the price of the above-mentioned digital currency was equivalent to RMB 150 million at the time of the case, and the amount was particularly huge. After the defendant Lu Wanlong was released on bail by the investigation authority, 450 bitcoins were exchanged and transferred for concealment. As a result of the above defendants concealment and transfer, 456 bitcoins, 573181.4 pomelo coins and 911 Ethereum could not be recovered.
After the case, on July 5, 2019, the defendants Chen Bo, Ding zanqing, Peng Yixuan, Yuan Yuan and Wang Renhu were arrested and brought to justice after they were repatriated from Vanuatu; on June 28 of the same year, Gu Zhijiang was arrested in Hunan; on June 29, Peng Bo was arrested at the West Kowloon port of Hong Kong; on July 5, the defendant Liu Jia returned home to surrender; on July 31, the defendant Lu Wanlong was repatriated from Cambodia On August 13, the defendant Zheng Jing was arrested in Changsha; on August 15, the defendants Liu Shuai and Chen Tao arrived at the case after being informed by telephone; on August 23, the defendants Lu Jiaolong, he Sisi, and Wu Jianhong returned home to surrender. After arriving at the case, the defendants all truthfully confessed the main criminal facts. The defendants, Chen Bo, Ding zanqing, Peng Yixuan and Gu Zhijiang, have exposed other peoples crimes, which have been verified.
It should be noted that so far, no central bank has launched a sovereign digital currency.
The biggest case in the currency circle: 320000 bitcoin seized