China Strips High-Ranking Official of Party Membership and Public Office Over Cryptocurrency Mining and Support Allegations

[Asia Economy Reporter Lim Chun-han] Chinese disciplinary authorities have imposed a 'Shuangkai' (double expulsion) punishment, stripping a senior official of both Communist Party membership and public office for supporting cryptocurrency mining.

On the 14th, according to the Central Commission for Discipline Inspection (CCDI) and the National Supervisory Commission of China, the authorities handed over Xiao Yu, Vice Chairman of the Jiangxi Provincial Chinese People's Political Consultative Conference (CPPCC), to the prosecution for review of indictment and confiscated illegally obtained assets.

The CCDI stated that Xiao Yu is suspected of abusing his authority against national industrial policies to support cryptocurrency mining activities. Additionally, he is accused of tolerating certain associates who exploited their positions for personal gain, accepting bribes, and engaging in profit-making activities.

China classifies all types of cryptocurrency transactions as illegal financial activities. The People's Bank of China, the central bank, stated in a notice on cryptocurrency transactions issued last September that "cryptocurrencies do not hold the same legal status as fiat currency" and that "activities related to cryptocurrencies fall under illegal financial activities."

This content was produced with the assistance of AI translation services.