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Chinese Individual Receives Life Sentence for Disclosing State Secrets in Exchange for Cryptocurrency
A Chinese government official received a life sentence on November 8 for disclosing state secrets to foreign entities to offset his cryptocurrency investment losses.
The individual, named Wang Moumou, was convicted for supplying confidential state information to foreign agents in return for over 1 million yuan through cryptocurrency transactions.
Wang Sentenced to Life for Selling State Secrets: Is the Chinese Government Still Strict on Crypto?
The People’s Court issued the ruling, highlighting Wang’s involvement with foreign intelligence organizations and his accumulation of over 1 million yuan through crypto transactions as compensation for sensitive information.
The court noted that he reportedly incurred significant debts from unsuccessful cryptocurrency investments.
In an effort to alleviate his financial difficulties, Wang attempted to find part-time work on an online forum, inadvertently disclosing his position as a civil servant.
China has sentenced a former state employee to death for leaking classified state secrets to foreign intelligence agencies, according to the Ministry of State Security.@esha_hanspal brings you this report
Watch more at https://t.co/dm7SyC0z2e pic.twitter.com/wJTOCW6kxK— WION (@WIONews) November 7, 2024
A local news report indicated that this led to his engagement with foreign agents who enlisted him to provide confidential information.
Over time, Wang allegedly shared various state secrets, initially for smaller sums in exchange for “a few photos and documents.”
However, as he continued to receive payments, he broadened his activities, ultimately disclosing high-level security documents.
Investigators reported discovering numerous secret documents on his computer, acquired by bypassing established security measures, including registration and document-tracking systems.
“The national security agency found that Wang provided top-secret and confidential state secrets to the other party and obtained more than 1 million yuan in spy funds through virtual currency recharge and trading,” the Chinese outlet Weixin reported.
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China’s Criminal Law prescribes harsh penalties for espionage, including sentences exceeding ten years or life imprisonment.
The Law on Guarding State Secrets requires agencies to implement stringent confidentiality protocols.
The People’s Court found Wang guilty of espionage and sentenced him to life imprisonment, also revoking all his political rights.
The Ministry of State Security noted that Wang’s unit did not enforce adequate confidentiality measures, which facilitated the security breach.
National security agencies have directed the unit to implement corrective actions.
From Fraud to Espionage: How China’s Crackdown Targets Crypto-Linked Crimes
The sentencing of Wang contributes to a series of recent espionage and fraud cases related to cryptocurrency. China recently extradited Zhang Moumou, the mastermind behind a $14 billion crypto pyramid scheme, from Thailand.
Zhang’s MBI Group has been active since 2012, promising substantial returns through virtual currencies, ensnaring over 10 million individuals.
His extradition, the first under the 1999 China-Thailand Extradition Treaty, followed an extensive international manhunt and involved collaboration under China’s “Fox Hunting Operation.”
In another instance, Taiwan convicted eight individuals for espionage, revealing that Chinese intelligence had utilized cryptocurrency to compensate Taiwanese military personnel for state secrets. Taiwan’s high court sentenced these individuals to prison terms ranging from 1.5 to 13 years.
This case, among the largest of its kind, demonstrated that Chinese agencies employ digital assets to facilitate covert operations despite a domestic prohibition on crypto trading.
In light of these events, China’s national security agency is advocating for heightened vigilance, urging citizens to report suspicious activities, particularly those associated with the sale of state secrets.
The post Chinese Man Sentenced to Life for Selling State Secrets for Crypto appeared first on Cryptonews.
