The Xihu District Court in the Chinese city of Hangzhou has started the trial of a criminal case against well-known crypto over-the-counter (OTC) trader Zhao Dong and several others.

According to the live stream page of the trial on Wednesday, Zhao was charged with a crime called “assisting internet criminal activities.”

Under China’s codified laws, the crime is defined as providing someone with information technology, such as internet access, network storage, telecommunication, advertisement promotion and payment settlements, when they know that person is committing an internet-based crime. If convicted, the penalty is up to three years in jail depending on the severity as well as a monetary fine.

The nature of an “assisting internet criminal activities” crime is not the same as “concealing and hiding criminal proceeds.” In China, more than 100 people have been convicted for the latter, which involves directly laundering proceeds for criminals using…

Read more…