Mankun Research

Drawing on his years of practice spanning legal internet ventures, law practice growth, and digital tools, culminating in the founding of Mankun Law Firm, attorney Liu Honglin, founder of Mankun Law Firm, explores the form of the law firm of the future. The future law firm will not emerge through the natural evolution of traditional firms; it must grow anew within new client relationships, modes of collaboration, and service processes.

Drawing on online romance investment fraud cases reported by the Hong Kong Police Force, this article provides an in-depth analysis of how fake crypto asset trading platforms induce users by forging app interfaces, manipulating backend data, and allowing small-scale withdrawals. The article emphasizes that “seeing assets” does not equate to “having control,” and proposes verifying platform authenticity across five dimensions: operating entity, regulatory status, download channels, funding paths, and asset control. It also guides users on how to preserve key evidence to safeguard their legitimate rights and interests upon detecting anomalies.

This article focuses on cases involving foreign exchange trading via virtual assets and provides an in-depth analysis of the criteria for determining whether an upstream offense of the crime of aiding information network criminal activities constitutes a 'crime committed by means of an information network.' The article points out that merely using tools such as WeChat, Telegram, or online banking for communication or fund transfers does not necessarily constitute an information network crime. The key lies in whether the core executory acts of illegal business operations (fund receipt, payment, and settlement) rely on an information network for completion. If the core steps are completed offline and the network serves only a communicative function, it does not constitute an upstream offense within the meaning of the crime of aiding information network criminal activities. Lawyers emphasize that the crime of aiding information network criminal activities cannot be used as a catch-all charge when evidence for illegal business operations is insufficient. It is necessary to strictly examine the core role of the information network in the executory acts of the crime to strive for non-prosecution or acquittal.

Using Moonshot AI’s open-source Kimi K3 model as an example, this article provides an in-depth analysis of the three legal hurdles enterprises face when using open-source large language models: license compliance, administrative filing, and legal liability. It points out that “free commercial use” does not exempt entities from regulatory obligations, and details the revenue thresholds for “model-as-a-service,” disclaimer clauses, and attribution requirements in the Kimi K3 license. It clarifies that providing services to the public within China requires completing the “dual filing” procedure for both algorithms and large models, and that self-deployed fine-tuning does not qualify for simplified registration. It emphasizes that service providers must independently bear responsibilities for the legality of training data, the handling of illegal content, and the labeling of AI-generated content. Enterprises are advised to, based on their scale and business model,

Drawing on cases from the Zhanjiang police’s crackdown on virtual currency illegal payment-settlement schemes, this article analyzes the criminal risks hidden in over-the-counter (OTC) USDT transactions. It explains how criminal syndicates use USDT to convert fraud-related funds, distinguishes the boundary between normal OTC transactions and high-risk illegal payment-settlement transactions, and focuses on interpreting the legal standards for establishing “knowledge” as well as the differences between the crime of aiding information network criminal activities and the crime of concealing or disguising the proceeds of crime. The article also provides traders with recommendations for identifying abnormal signals and guides them on how to legally preserve evidence and respond when bank cards are frozen or during investigations.

This article addresses scenarios in which an offline cash exchange for USDT results in the counterparty receiving the tokens, refusing payment, and fleeing. It provides an in-depth analysis of the core distinction between fraud offenses and ordinary transactional disputes, namely whether the counterparty had the intent of illegal possession. Drawing on typical cases announced by the Laiyang police, the article sets out a comprehensive guide to preserving evidence across all stages—from transaction agreements and on-chain delivery to on-site circumstances and post-transaction conduct—and advises parties on how to file reports in a standardized manner to enhance the likelihood of case initiation. It also analyzes the practical difficulties and available pathways for tracing assets based solely on wallet addresses, warns frequent over-the-counter traders of their own criminal risks, and recommends engaging professional counsel to organize the chain of evidence, assess compliance risks, and promote supervisory oversight of case initiation, thereby maximizing recovery of losses.

This article provides an in-depth analysis of the legal risks that employees in the Web3 industry may face after assisting their companies in completing know-your-customer (KYC) procedures for cryptocurrency exchanges. The article points out that even if the accounts are actually controlled by the company, employees, as the registered identity holders, may still bear criminal liability for participating in verification, operating the accounts, or failing to report despite knowledge of irregularities, such as liability for the crime of aiding information network criminal activities or the crime of concealing or disguising the proceeds of crime. The article delineates levels of liability based on varying degrees of participation, emphasizing that resignation does not automatically sever liability. It also provides a checklist for preserving and handing over evidence across dimensions including identity, accounts, on-chain data, and work records, guiding employees on how to reconstruct facts and distinguish liabilities when facing risk control measures or investigations, thereby avoiding the pitfalls of uniformly coordinating statements or destroying evidence.

Through a dialogue with an AI entrepreneur, this article explores how Vibe Coding lowers the barrier to development without simplifying the essence of entrepreneurship. It points out that while AI can rapidly deliver product prototypes, the key to success lies in a profound understanding of genuine business needs, traffic acquisition, payment compliance, and users’ willingness to pay. It emphasizes that in the AI era, professionals must possess a “product sense,” integrating code, content, SEO, compliance, and delivery, while clearly defining the boundaries of responsibility between humans and AI to navigate a rapidly changing market environment.

The key to securing criminal investigation initiation in this token investment loss case lay not in the token’s value dropping to zero, but in proving that the recommender’s interest relationship with the project promoters was concealed, that the technical background was fabricated, and how these facts induced the investor to make payments. The article explains how to restructure transfers, promotional materials, identity relationships, and existing rights-protection records into a deception framework suitable for review by public security organs.

The legal characterization of offline cash-for-USDT exchanges should not depend solely on whether the counterparty ran off with the money. Instead, it requires reconstructing the sequence of delivery, the actual control over the cash and on-chain assets, whether the counterparty genuinely intended to perform at the outset of the transaction, and whether there was violence, coercion, or identity deception at the scene. It is essential to simultaneously preserve evidence such as wallet addresses and transaction hashes, chat logs and intermediary records, cash verification and delivery processes, onsite surveillance footage, and movement trails of the individuals involved. These facts determine whether the case more closely resembles a transaction dispute, fraud, robbery, or crimes such as concealing or disguising the proceeds of crime due to the conversion of fraud-related cash into crypto assets.

Even when digital collectible projects are packaged as membership benefits, brand collaborations, AI assets, or offline consumption offerings, they must still be scrutinized for issues related to fund raising, secondary market circulation, return expectations, backend administrative privileges, and actual performance of obligations. This article breaks down commonly overlooked criminal risks in entrepreneurial ventures into specific business activities, advising teams to clearly delineate the boundaries between issuance, marketing, trading, and operations before product design.

Whether USDT dealers are investigated as underground banks depends not on whether they hold USDT, but on whether they continuously engage in collecting, paying, exchanging, and settling funds between mainland China and overseas on behalf of others. Starting from actual fund flows, this article explains the difference in criminal risk between occasional disposal of personal assets and operational cross-border currency exchange.

Providing perpetual contract trading services to users within mainland China carries significant criminal risk, but “non-compliance” does not automatically equate to opening a casino. This article outlines the different pathways through which a platform’s contract business may be evaluated as opening a casino, engaging in illegal business operations, or committing fraud, and highlights that personnel in technical, operational, customer service, and finance roles should assess their respective liabilities based on actual authority, fund flows, and evidence of knowledge.

When crypto assets are stolen, the focus should not be solely on whether they can be recovered. It is first necessary to distinguish whether the theft resulted from a compromised exchange account, phishing authorization, leakage of seed phrases, access by acquaintances, or loss of control over multi-signature permissions. This article emphasizes the importance of first preserving on-chain records, login and device information, communications with the platform, and traces of authorization, before assessing the platform’s liability, the appropriate path for filing a police report, and the feasibility of subsequent recovery efforts.

On-chain U.S. stocks may provide mainland users with a new technical gateway to access overseas securities, thereby bringing them within the scope of cross-border capital regulation. In light of the crackdown on cross-border operations by overseas brokerages, this article discusses the potential regulatory boundaries in mainland China concerning tokenized securities, traffic redirection by crypto exchanges, and fund transfers.

Mining machines, cloud hashrate, nodes, and platform tokens do not determine the nature of a project; criminal assessment ultimately returns to fundamental questions: the source of funds, how returns are promised, why withdrawals are restricted, who controls the backend, and the final destination of the funds. This article explains under what factual circumstances a mining machine rebate scheme more closely resembles the crime of illegally absorbing public deposits, and in what situations it may be further examined as fundraising fraud.

The risk for foreign trade enterprises receiving USDT lies not only in the receipt of funds but also in the ability to explain the payer, transaction background, and on-chain fund paths. Once a wallet, exchange account, or bank card is frozen, contracts, orders, logistics records, wallet addresses, transaction hashes, and communication records will determine whether the enterprise can explain the nature of the receipt and facilitate subsequent handling.

On January 19, 2026, The Paper reported on a case in which a Shenzhen-based network information security engineer was accused of exploiting vulnerabilities in the servers of an overseas online gambling website to obtain personal information of a large number of individuals and replacing the bank account for commission rebates associated with the gambling website’s agent account with one under his control. Public security organs in Hunan and Henan provinces successively intervened in the case, seizing approximately 183 bitcoins from his digital wallet, with a converted value exceeding RMB 80 million. Subsequently, the Changge City People’s Procuratorate in Henan Province initiated public prosecution against him on suspicion of theft and infringement of citizens’ personal information. Reports indicate that the case was heard in open court at the Changge Court in Henan in January 2026.

The key takeaway from this Hong Kong OTC money laundering case is not that “buying USDT leads to imprisonment,” but rather: when funds must pass through another person’s account, involve cash withdrawals, OTC crypto asset purchases, and transfers to overseas wallets to complete the transaction, it ceases to be merely a technical pathway and becomes a chain of funds requiring legal interpretation. Hong Kong’s commitment to developing Web3 remains unchanged. Virtual asset trading platforms, stablecoins, tokenized assets, wallets, and custody services may all become part of Hong Kong’s financial market. However, Hong Kong’s development of Web3 does not equate to permitting virtual assets to serve as high-speed channels for criminal proceeds. The more new financial instruments are incorporated into the regulatory framework, the more they must be subject to identity verification.

Many people hold a misconception regarding Hong Kong’s Web3 policies: because Hong Kong supports the development of virtual assets, buying and selling cryptocurrencies, engaging in over-the-counter (OTC) transactions, and conducting stablecoin business in Hong Kong are all legal and safe. This statement is only half correct. Hong Kong is indeed developing its virtual asset market and creating institutional space for businesses such as trading platforms, stablecoins, custody, and payments. However, what Hong Kong encourages is financial innovation that is licensed, equipped with internal controls, implements customer identification, and monitors suspicious transactions, rather than providing a faster channel for the outbound transfer of funds of unknown origin. A recent case adjudicated by the Hong Kong District Court serves as an apt illustration of this boundary. According to Hong Kong media reports, the Hong Kong District Court ruled on June 23, 202

It is not about issuing tokens or speculating on tokens, but rather transforming AI capabilities into measurable and billable global services.

Three Key Compliance Elements: Origin of the Model, Cross-Border Data Transfer Pathways, and Final Destination of Service Sales

This is the second article in the introductory series: Canadian MSB.

This is the first article in the introductory series, focusing on the U.S. Money Services Business (MSB) license.

Abstract: You merely invested in a Web3 project and invited friends and relatives to join in order to make some money. After the project collapsed, you reported the case to the police, only to be criminally detained yourself—this is not a story, but a real occurrence. This article will explain: why you may not perceive your actions as operating a pyramid scheme, yet the law may deem you an organizer; which roles (team leaders, lecturers, agents) are most susceptible to liability; and what you should prioritize doing at present. If you or your family members are facing similar circumstances, after reading this, you will at least understand: what lies ahead and what type of attorney you should engage. Keywords: Crime of organizing and leading pyramid scheme activities; virtual currencies; criminal defense; release on bail pending trial; defense for mitigation of punishment Special Disclaimer: This article is

If you are located in mainland China and use a bank card issued in mainland China, do not treat the C2C function within exchanges as a normal channel for fiat withdrawals.

Abstract: If you or your family members have been arrested for illegal foreign exchange trading, do not panic merely because the bank transaction flows appear large. Not all such flows are counted—only currency exchange amounts supported by a complete chain of evidence constitute the crime. This article explains: amounts admitted solely by you but not identified by the counterparty are not included; bank transaction flows uncorroborated by chat records or witness testimony are also excluded. Illicit gains may also be claimed at a rate of one per thousand. After reading, you will understand which amounts can be deducted and how the case is likely to proceed. Keywords: Crime of Illegal Business Operations, Deduction of Currency Exchange Amounts, Determination of Illicit Gains, Chain of Evidence, Illegal Foreign Exchange Trading. Special Disclaimer: This article is an original work by Attorney Shao Shiwei, representing only the personal views of the author, and does not constitute legal advice regarding specific matters.

Abstract: Have you or your family members or friends invested in and promoted a virtual currency project, only to be taken away by the police despite not making any profit or even losing your principal? This article reveals a harsh truth: the determination of criminal liability for pyramid schemes does not depend on whether profits were made, but rather on the number of recruits and the hierarchical levels developed. Even if you go to the police station to report the project operators, you may instantly transform from a complainant into a criminal suspect. The article deconstructs four common misconceptions to help you understand what steps to take now. Keywords: Crime of organizing and leading pyramid selling activities; virtual currency pyramid schemes; determination of hierarchical levels and participant numbers; recognition of meritorious service; criminal risks for KOLs Special Disclaimer: This article is the original work of Attorney Shao Shiwei.

Abstract: Have your family members or friends been taken away by the police for operating an AI relay station? Or are you currently engaged in the API interface business, with a vague sense that something is amiss? This article explains in plain language: reverse scraping, reselling free quotas, and reselling user conversation logs are the three scenarios most likely to lead to legal trouble. You will clearly understand what you may face next—37 days of criminal detention, the possibility of release on bail pending trial, and the one thing you should do right now. Keywords: Crime of illegal business operations, Crime of infringing upon citizens' personal information, Crime of refusing to fulfill obligations for information network security management, Release on bail pending trial, AI relay station Special Declaration: This article is an original work by Attorney Shao Shiwei and represents only the author's individual

Abstract: You and your friends operate a sports prediction app. Users pay to view analyses and then engage in sports betting. Could you be convicted of "operating a casino"? Do not assume that charging only a 1% commission ensures safety. This article outlines three legal red lines: operating without an ICP license may constitute the crime of illegal business operations; knowingly providing "insider" analyses to users who are betting may make you an accomplice to the crime of gambling; and if authors' titles and track records are fabricated, you may even be suspected of fraud. After reading this, you will understand how to avoid the risk of imprisonment in this seemingly highly profitable business. Keywords: Crime of Illegal Business Operations; Crimes of Gambling and Operating a Casino; Determination of Fraud; The Boundary Between "Selling Tips" and Paid Knowledge Services Special Declaration: This article is the original work of Attorney Shao Shiwei.

Abstract: Are you or your friends developing trading tools, data analytics websites, or news aggregators for Polymarket? Although this platform holds overseas licenses, your tools do not handle user funds, and its users are located abroad, be cautious: under Chinese law, this may be deemed as providing technical support to gambling websites. This article clarifies the three most common pitfalls: assuming that if the platform is legal, your activities are also legal; assuming that not handling funds means there is no risk; and assuming that having users abroad ensures safety. You will see that such conduct may involve the crime of operating a casino and the crime of aiding information network criminal activities, as well as what steps to take now. Keywords: Accomplice to the crime of operating a casino, compliance of third-party tools, prediction market platforms, crime of aiding information network criminal activities, risks of Web3 entrepreneurship targeting overseas markets

Summary: Have you or your family member been taken away by the public security authorities for introducing foreign exchange transactions, with the involved transaction volume reaching as high as RMB 460 million, and heard that the sentence might be more than five years? Do not panic. This article discusses a real case: the client similarly faced the risk of being identified as a principal offender and receiving a heavy sentence, but through item-by-item verification and reduction of the amounts, the attorney successfully argued for the client’s status as an accessory offender, and the court ultimately imposed a suspended sentence, meaning the client did not have to serve time in prison. You will understand: how the public security authorities will proceed with their investigation, which amounts can be challenged and excluded, and how an attorney can help you strive for release. Keywords: Crime of Illegal Business Operations, Introduction of Foreign Exchange Transactions, Suspended Sentence, Determination of Principal and Accessory Offenders, Defense Regarding the Amount Involved Special Disclaimer: This article is an original work by Attorney Shao Shiwei, representing only the personal views of the author, and does not constitute

Abstract: Have you or your family members come under investigation due to the "static returns" (interest-bearing holdings, staking mining) and "dynamic returns" (referral rewards, team bonuses) associated with a virtual currency project? Do not focus solely on the existence of hierarchical structures. The core issue lies in the source of these funds: if static returns derive from the platform’s genuine revenue (such as transaction fees or advertising fees), they do not constitute a crime; however, if they are funded by the principal contributions of new users (a Ponzi-like scheme of robbing Peter to pay Paul), they may amount to pyramid selling or illegal absorption of public deposits. If dynamic returns are rewards granted only after downline members have made genuine consumption, rather than payments made merely for recruiting participants, there is room for defense. This article guides you through a self-assessment using three dimensions and explains the key points attorneys will leverage in your defense. Keywords: static returns, dynamic returns, team-based compensation

Abstract: Have you or your family members been detained due to referral rewards in a virtual currency project? Do not panic. The key is to determine the source of these reward funds—if they derive from genuine revenue such as NFT sales or service fees collected by the platform, it may constitute only an administrative violation and not the crime of pyramid selling; if they derive from the principal contributions of new users (a Ponzi scheme structure), it constitutes a crime. This article uses a real case to teach two self-assessment methods: What can tokens be used for besides resale? Can one participate for free without purchasing tokens? Finally, it outlines four points for legal defense. After reading, you will know what to discuss with your lawyer next. Keywords: Crime of organizing and leading pyramid selling activities, team-based remuneration, entry fees, multi-level rebates, Ponzi structure Body:

Abstract: Have your family members or friends been arrested by the police in connection with a virtual asset project, alleged to be involved in a pyramid scheme? Or do you have lingering concerns that your own project may be problematic? This article explains in plain language that while adjudicated virtual currency pyramid schemes in China appear diverse on the surface, they essentially follow only four patterns: disguising as financial management wallets, packaging as blockchain games, fake mining, and issuing worthless tokens. First, use this article to identify which pattern applies, then review the three decisive criteria judges use to determine pyramid schemes: whether an entry fee was paid, whether rewards depend on recruiting participants, and whether the hierarchy exceeds three levels. Understanding these factors will help you determine the appropriate next steps. Keywords: Crime of organizing and leading pyramid scheme activities, virtual asset regulation, hierarchical structure

Summary: Are your family members or friends working on a Web3 project and suddenly taken away by authorities? Are you a technical staff member, an agent, or an ordinary employee worried about potential criminal liability? This article explains in plain language that investigators primarily focus on whether your role is indispensable to the platform, whether you helped recruit users, and your level of knowledge. Among employees, some face no prosecution while others receive custodial sentences. After reading this, you will understand the likely direction of the case and what steps to take now. Keywords: Crime of Operating a Casino, Subjective Knowledge, Determination of Accomplice Liability, Risks for Technical Roles, Agent Commissions Body: Over the past few years, Attorney Shao’s team has handled numerous cases involving virtual currency exchanges, Web3 project operators, and other entities implicated in the crime of operating a casino.

Abstract: Are you or your friends operating paid communities in the crypto space or selling trading courses? Do you analyze market trends and provide entry/exit point recommendations in group chats daily? This article explains that even if you label your activities as "educational sharing," judicial authorities will examine the substance—specifically, whether your actions induce others to trade. Through a Q&A format, the article clarifies under what circumstances criminal risks arise, whether disclaimers are effective, and whether it is still timely to cease such activities. After reading, you will be able to assess whether your conduct crosses legal boundaries. Keywords: Criminal risks for virtual currency KOLs, determination of inducing trading, compliance boundaries for paid communities, investment advice and the crime of illegal business operations. Body: In his daily practice, Attorney Shao frequently encounters crypto KOLs and individuals engaged in knowledge-based...

Abstract: Has a family member or friend suddenly been taken away by the police, leaving you in a panic? Do not worry. This article avoids complex legal provisions and simply explains: Will buying and selling virtual SIM cards, exploiting promotional offers, or helping to receive verification codes lead to imprisonment? How do the risks escalate step by step? How do the police determine whether you acted with "knowing intent"? After reading this, you will understand your or your family member’s position, what may happen next, and what actions should be taken immediately. Keywords: Levels of criminal risk, presumption of subjective knowledge, distinction between the crime of aiding information network criminal activities and fraud, crime of infringing on citizens’ personal information Body: Mr. A initially only wanted to save some money. He saw someone selling virtual phone numbers online, claiming they could be used for registration

Abstract: Are your family members or friends engaged in part-time work purchasing gift cards on behalf of others? Be cautious, as this is no longer a simple errand-running business. This article explains: Personal use poses minimal risk; occasional assistance carries moderate risk; however, long-term profit-making through price differentials is likely to be characterized as the crime of illegal business operations or disguised foreign exchange trading, facing criminal investigation. If your accounts have been frozen or you have been detained, you need to understand how police analyze transaction records and how attorneys can help you seek lenient treatment. Keywords: Crime of Illegal Business Operations, Disguised Foreign Exchange Trading, Account Freezing, Involved Transaction Records, Criminal Defense Body:

Summary: If your family member was merely employed by a Web3 company but was suddenly arrested across provincial lines on charges of “pyramid scheme” activities—do not panic; you are not alone. This article explains why platforms featuring mechanisms such as “triple points rebates on purchases, mandatory recruitment of new members, and daily unlocking caps of 0.03%” constitute pyramid schemes in essence. More importantly, it addresses your primary concern: whether programmers or ordinary employees face criminal liability. The answer is yes, because your code serves as evidence. The article concludes with direct advice: resign immediately and do not jeopardize your freedom for high compensation. Keywords: virtual currency pyramid schemes, crime of organizing or leading pyramid scheme activities, Web3 job-seeking risks, pyramid schemes

Summary: The UK can now directly confiscate your properties and funds in the country without securing a criminal conviction. If you or your family members and friends have transferred funds overseas through underground banks, structured transfers to evade limits, purchasing USDT, or other means, or have assisted in holding properties or accounts on behalf of others, this article helps clarify who is likely to be targeted, how UK authorities conduct investigations, and what you need to know at present. After reading, you will understand that overseas jurisdictions are not safe havens. Keywords: Unexplained Wealth Orders, civil recovery, illegal foreign exchange transactions, confiscation of overseas assets, crime of aiding information network criminal activities

Order another milk tea from the shop I visited yesterday.

Abstract: Have your family members or friends been detained for batch-registering accounts on AI platforms, pooling and reselling computing power, or engaging in API reverse-engineering relay services? This article clarifies the red lines between incidental "benefit-seeking" and large-scale arbitrage. You will understand which criminal offenses may be implicated by three common operational practices, and what preparations you should make from the initial investigation through to cross-provincial arrest. After reading, you will be able to determine whether to cut losses, voluntarily surrender, or immediately engage legal counsel. Keywords: computing power arbitrage, crime of illegally obtaining data from computer information systems, copyright infringement, API reverse-engineering parasitism, criminal risk

Abstract: If a family member is detained in connection with a virtual currency platform, does this necessarily constitute fraud? Not necessarily. This article clarifies five core determinants: whether users were genuinely deceived, the authenticity of platform data, how losses were incurred, the nature of the income earned by your family member, and whether users could withdraw funds normally. The legal assessment varies significantly depending on the role involved, such as platform operators, technical staff, agents, or instructors. After reading this, you will understand the most critical steps to take now to avoid missing favorable opportunities. Keywords: Constitutive elements of virtual currency fraud, distinction between fraud and illegal business operations, determination of criminal liability for platform roles, standards for determining the purpose of illegal possession

It is not about equipping AI with wallets, but rather transforming machine invocations into discrete transactions.

Rather than merely discussing concepts, this article returns to cash flow, regulatory boundaries, and implementable business structures.

Abstract: If your virtual currencies are seized by public security organs, your primary concerns may include: the assets being sold before a judgment is rendered; the valuation date directly determining the length of your sentence; and the assets remaining permanently frozen if held on overseas exchanges that fail to cooperate. Drawing on the latest enforcement guidelines issued by the Shanghai High People’s Court and real-case handling experience, this article clarifies how these three issues are currently addressed and identifies remaining pitfalls. Keywords: judicial disposition of virtual currencies, disposition during the investigation stage, valuation standards, enforcement against overseas exchanges, criminal case-related property

When “No VPN Required” becomes a selling point, criminal risks can no longer be overlooked.

Abstract: If your family member is facing a first-instance judgment with only ten days remaining, and everyone tells you that you “can only wait for the second instance,” this article is written for you. This is a real case involving RMB 30 million, where the procuratorate recommended a 15-year sentence. The attorney intervened 14 days after the court hearing. Faced with the judge’s refusal and the pressure of procedural time limits, the attorney re-examined thousands of pages of case files, dissected complex fund flows, and communicated simultaneously with the prosecutor. These efforts ultimately resulted in two postponements of the case, securing for the client an opportunity for a renewed factual review. You will see what an attorney can do at the final stage, and how hope was “found” again. Keywords: First-instance defense strategy, virtual currency cases, asset

Abstract: If you or your family members have been detained by the police for crimes such as aiding information network criminal activities, opening a casino, or concealing or disguising the proceeds of crime, particularly involving virtual currencies, "running points" (money laundering via personal accounts), wallet development, or selling USDT for cash, this article will help you clarify: Where do you stand in this chain? Why have the investigative authorities targeted you? In what direction is the case likely to proceed? We deconstruct four fund settlement models used by online gambling platforms, allowing you to see the logic of the entire case and determine whether there is room for defense. Keywords: Crime of Opening a Casino, Crime of Aiding Information Network Criminal Activities, Crime of Concealing or Disguising Proceeds of Crime, Virtual Currencies, Payment and Settlement, "Running Points" Platforms, OTC Acceptors Body:

Ensuring that Web3.0 develops lawfully in China.

This is not merely a technological upgrade, but a historical narrative concerning the transfer of “power and assets.”

The logic of compliance, taxation, and governance for OpenClaw-like AI Agents in the Web4 era.

Abstract: If a family member or friend has been arrested for operating a virtual currency investment platform, you may feel devastated and assume that they will inevitably be convicted of fraud. Do not panic. This article aims to clarify that, when a company encounters legal issues, the liabilities of different individuals (such as the owner, sales personnel, lecturers, and customer service staff) vary significantly. The key to determination lies in: What specific responsibilities did the individual hold within the platform? Was their income based on a fixed salary or on commissions derived from clients' losses? Many employees are unaware of whether the platform's backend can be manipulated, which is crucial for seeking lenient treatment. After reading this article, you will be able to roughly assess the severity of the situation and understand the direction in which to focus your efforts. Keywords:

Abstract: Are you or your friends experimenting with AI search optimization (GEO)? Beware! With one misstep, you could slide from "digital marketing" into "criminal offense." This article avoids abstract theorizing and directly identifies which practices in GEO operations are safe and which—such as driving traffic to Ponzi schemes or fabricating expert rankings—may expose you to criminal liability for aiding information network criminal activities, fraud, or false advertising. Whether you are a client seeking reliable legal counsel or a practitioner concerned about crossing operational boundaries, this article will help you clarify the legal red lines. Keywords: GEO optimization, crime of aiding information network criminal activities, false advertising, criminal legal risks, AI search compliance Body: With the widespread adoption of artificial intelligence applications

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Abstract: If your family member or friend has been detained in connection with a crypto asset case, the most pressing concern is often, “How much will the sentence be based on?” In fact, how the value of the crypto assets is calculated directly determines whether conduct constitutes a crime and the length of the sentence. For the same crypto asset, whether its value is assessed at the time of theft, at the time of the loss, or based on the price at a specific point in time on an exchange, the outcomes can differ drastically. This article avoids obscure legal provisions and instead draws on real cases to help you understand how courts in judicial practice...

Six Mainstream Models: A Comprehensive Guide to Selection

Abstract: If your family member or friend has been detained in connection with crypto assets, the determination of the amount involved directly affects whether they can be released and the length of their sentence. Many people are unaware that the value of the assets may be calculated based on the purchase price, the time of theft, or the time of sale. The resulting valuation at different points in time can mean the difference between acquittal and imprisonment. Using real cases, this article explains whether judicial authorities base convictions on the victim’s losses or on the proceeds from disposing of stolen assets, and advises family members on which temporal reference point to leverage when seeking acquittal or a lighter sentence for their loved ones. Keywords: virtual assets, determination of the amount involved, criminal defense, timing of asset valuation, crime of aiding information network criminal activities

Resolving the Account Dilemma for Stablecoin Global Expansion: “Can You Secure Umbrella Accounts?”

Abstract: Do you or your friends enjoy "creating characters" (i.e., creating avatars or personas) on AI companion chat applications? Take note: in the first criminal case in China involving AI-related obscenity, not only was the developer sentenced, but an ordinary user was also placed under investigation for the suspected crime of "producing obscene materials for profit." This article helps clarify when such activities are merely recreational and when they may lead to criminal liability. Key considerations include whether you actively used "jailbreak prompts" to induce the AI to generate explicit content, or merely set up ordinary character profiles; and whether you received cash or virtual currency rewards from the platform via trending leaderboards. Understanding these factors is essential to avoid transitioning from a user to a criminal suspect. Keywords: Crime of producing obscene materials for profit, AI jailbreak prompts, user-generated content

As crypto payments go global, why a single license is inevitably insufficient.

In addition to the traditional approach of “borrowing new funds to repay old debts,” there is a new avenue for resolving debt incurred by local government financing vehicles.

Abstract: If your family member or friend has been detained in connection with virtual currency matters, is your primary concern “how many years will they actually be sentenced to?” This article aims to help you understand this issue. For the same act of transferring virtual currencies from another person’s account, some individuals receive sentences of more than ten years, while others receive only around three years. What accounts for the difference? The key lies in whether the charge is classified as “theft/fraud” or as the “crime of illegally obtaining data from computer information systems.” The former carries a minimum sentence of ten years, whereas the latter has a maximum sentence of seven years. Drawing on actual judgments from Shanghai, Zhejiang, and other regions, this article explains that if technical means such as phishing websites, Trojan programs, or password theft were used in the commission of the offense, there is a significant opportunity to argue for classification under the lesser charge. Read on to learn how this may apply to your family member or friend’s

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. Late one night, I received a call from a family member. “Attorney Shao, my younger brother has always worked in Location A. Why did the public security authorities in Location B, 1,000 kilometers away, arrest him?” Initially, the family was also confused about this matter. Only after making inquiries through various channels did they learn that the suspect had once used a mobile phone in Location B to log into an account and transfer virtual assets. In other words, relying solely on the login IP address, the public security authorities in Location B determined that location to be...

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Recently, I received a consultation from a lady. Her anxious voice came through the phone: “Attorney Shao, the police have taken my child away. They say it’s because he was ‘milking perks’ by providing third-party repayment for JD Baitiao on Xianyu. Is this serious?” According to the lady’s description, her child, Xiao Li, was originally an ordinary white-collar worker at a company. However, due to the impact of AI on the industry, the company’s overall economic performance deteriorated, resulting in his layoff shortly after joining. Because

Virtual property is no longer beyond the reach of the law.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposts, legal consultations, or business exchanges, please add: sswls66. Earning spreads from trading virtual assets, yet being investigated due to receiving foreign exchange funds—this article is derived from a real case handled by Attorney Shao, in which an over-the-counter (OTC) merchant was accused of suspected illegal business operations and concealing or disguising the proceeds of crime arising from USDT OTC transactions. In this case, the client had long been engaged in buying and selling USDT to earn spreads. During a routine transaction, the client unfortunately received RMB funds transferred by an upstream underground bank for the purpose of illegally exchanging foreign currency on behalf of others. Due to

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. In recent years, with the rapid expansion of the online gaming industry, the black and gray market supply chain surrounding game accounts has expanded in tandem. From the “city’s first case of programmatic batch real-name registration of game accounts” adjudicated by the Jing’an District People’s Court of Shanghai, to the case involving 3 million items of personal information related to Love and Deepspace mobile game accounts adjudicated by the Changning District People’s Court of Shanghai, judicial authorities have successively disclosed a number of cases of typical significance. These cases are not isolated

Do not wait until you are imprisoned to understand the weight of “compliance.”

I have strived for the Web3 industry, and I will continue to facilitate the lawful development of Web3 in China in 2026.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the author’s personal views and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66 In recent years, among the many cases involving the crime of infringing citizens’ personal information that Attorney Shao has handled, a notable trend has emerged: the entities subject to investigation and case filing are increasingly not the traditional “black- and gray-market teams” whose primary purpose is the illegal acquisition and trading of information, but rather companies whose core businesses include customer-acquisition services and data operations, and which appear to be operating in compliance. The initial reactions of many executives of the implicated enterprises were nearly identical:

A PayFi case study moving toward the mainstream capital markets.

The new sovereign of the frozen throne of traffic.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66. Xiao Wang is a programmer at a major tech company. In recent years, seeking to break through career bottlenecks and explore new professional possibilities, he began considering a transition into Web3. After communicating with headhunters and seeking internal referrals from friends in the industry, Xiao Wang successively received multiple Web3 job offers. The job descriptions (JDs) broadly stated: “Design and develop core contracts for prediction markets (AMM, liquidity pools, settlement, and adjudication models)”; “Design and develop for gambling games

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. The app Alien Chat (hereinafter referred to as “AC”) is an AI companion chat application positioned to provide intimate companionship and emotional support to younger demographics. In September 2025, the Xuhui District People’s Court of Shanghai issued a first-instance judgment convicting the founder and developer of AC of the crime of producing obscene materials for profit, sentencing them to four years and one and a half years of imprisonment, respectively. This marks the first criminal conviction nationwide in which an AI developer received a prison sentence for obscenity-related offenses arising from the provision of “AI emotional companion software.”

Financial bloggers providing trade signals are investigated, revealing the legal red lines behind such activities!

What risks do ordinary users and promoters respectively face? This article clarifies the criminal liabilities behind "prediction markets."

Is it easier to share hardships than to share rewards?

A Guide for Web3 Entrepreneurs to Avoid Being Exploited

Rational skepticism is an essential competency in the AI era.

In the AI era, the core issue of criminal liability attribution lies in the interplay between “precise targeting” and “prudent intervention.”

From the entry of major players to the transformation of banks, this article analyzes the licensing landscape and regional differentiation in the fourth quarter.

Frequent occurrences in Shenzhen: Running errands in Hong Kong, only to be arrested upon return.

Should the money of the future be issued by the state or left to the market?

This achievement marks a critical step forward for the company on its path to international compliance.

Can you tolerate this?

Stay informed while keeping up with the latest developments

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66 With the rapid development of the digital economy, artificial intelligence is undoubtedly one of the most innovative and promising fields today. Many AI entrepreneurs and programmers have enthusiastically entered this space, driven by passion and technological aspirations. However, seemingly innovative business models may harbor numerous overlooked legal risks. This case provides an in-depth analysis of the first case in Shanghai involving illegal stock recommendations through an “AI stock-trading robot,” examining the implications for AI entrepreneurs, programmers, and

Payments handle “inflows” and “transfers,” while asset management handles “retention” and “yield generation.”

Not lax regulation, but a clear and sustainable regulatory expectation as a starting point for payments.

In an era of stringent regulation, Web3 projects must not only pursue technological “coolness” but also prioritize operational “stability.”

It is not a matter of scale, but whether the business activities have fallen within the scope of state law regulation.

The "Wild West" era of Web3 is coming to an end.

Web3 practitioners are facing newly demarcated boundaries for their operations.

Web3 is a grand social experiment, but law is not a variable in the experiment; it is the boundary of the experiment.

An Analysis of the Remedial Dilemma in Crypto-Related Disputes

Compliant, available for public offering, and accessible to retail investors

This case fully demonstrates the professional competence of Attorney Gao Mengyang’s team in handling novel criminal cases involving virtual asset exchanges.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In the blink of an eye, 2025 has turned to its last page. On social media feeds, everyone’s year-end summaries are gradually being “submitted.” Following the convention of previous years, I should have presented a data-rich “performance list” at this moment—number of cases handled, win rate, and key achievements. However, when I truly settled down and reviewed each case one by one, I realized that the most valuable gains could not be defined by numbers. What were they? They were the countless late-night conversations,

Compliance is no longer a remedial measure but a core architectural element that must be designed in from the outset.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66 As economic crimes, particularly those involving large numbers of victims, the internet, and new technologies such as virtual currencies, continue to occur frequently, massive, complex, and concealed financial data have become central to investigation and prosecution, posing challenges to traditional evidence-collection models. In this context, fund analysis techniques long employed within public security organs, since 2025 through a series of documents centered on the Provisions on the Procedures for Fund Analysis and Appraisal by Public Security Organs (Trial)

Based on the SFC regulatory framework, this article provides an in-depth breakdown of key application points and compliance practices.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects solely the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In the realm of criminal justice, the legal characterization of virtual currencies is increasingly revealing significant practical and theoretical dilemmas. In judicial practice, adjudicatory bodies often reach markedly different conclusions in cases involving virtual currencies with highly similar factual patterns, resulting in the reality of “divergent judgments in similar cases.” This not only leads to a lack of uniform standards in sentencing but may also directly affect the boundary between criminal and non-criminal conduct, thereby undermining the stability of criminal adjudication.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66. In the field of criminal justice, the legal characterization of virtual currencies is increasingly revealing significant practical and theoretical dilemmas. In judicial practice, for cases involving virtual currencies with highly similar modus operandi, different adjudicating bodies often reach significantly divergent rulings, creating a reality of "different judgments for similar cases." This not only results in a lack of uniform standards for sentencing but may also directly affect the boundary between criminal and non-criminal conduct, thereby undermining the stability of criminal adjudication.

Do not believe rumors; do not spread rumors!

The Critical Question

A thorough understanding of the legal risks underlying compensation structures is the most fundamental protection of one's own rights and interests.

A Comprehensive Guide to Crypto Fund Strategies, Logic, and Five-Year Performance

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In the field of criminal justice, the legal characterization of virtual currencies is increasingly revealing significant practical and theoretical dilemmas. In judicial practice, adjudicating authorities often reach markedly different conclusions in cases involving virtual currencies with highly similar factual patterns, resulting in the real-world phenomenon of "different judgments for similar cases." This not only leads to a lack of uniform standards in sentencing but may also directly affect the boundary between criminal and non-criminal conduct, thereby undermining the stability of criminal adjudication.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In the field of criminal justice, the legal characterization of virtual currencies is gradually revealing significant practical and theoretical dilemmas. In judicial practice, for cases involving virtual currencies with highly similar modus operandi, different adjudicatory bodies often reach significantly divergent conclusions, creating a reality of "different judgments for similar cases." This not only results in a lack of uniform standards for sentencing but may also directly affect the boundary between criminal and non-criminal conduct, thereby undermining the stability and predictability of criminal adjudication.

The Doubao vs. Big Tech Dispute: Legal Challenges and Compliance Analysis of AI Smartphones

A systematic analysis of the maintenance and compliance management framework for Type 1, 4, and 9 licenses.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. This case begins with a criminal judgment from a Shanghai court, concerning conduct in the traditional gaming industry where an employee exploited work privileges to modify backend data and resell game coins for profit. Although game coins and cryptocurrencies do not fall within the same category, in the current judicial system, where there is still a lack of clear legislative guidance and established adjudicatory standards for Web3, virtual assets, and crypto asset crimes, case-handling personnel often treat virtual property cases in the gaming industry

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. This case begins with a criminal judgment from a Shanghai court, concerning conduct in the traditional gaming industry where an employee exploited work privileges to modify backend data and resell game currency for profit. Although game currency and crypto assets are not in the same category, given that the current judicial system lacks clear legislative guidance and established adjudication standards for Web3, virtual assets, and crypto asset crimes, case-handling personnel often treat virtual property cases in the gaming industry

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. On October 27, 2025, Pan Gongsheng, Governor of the People’s Bank of China, reaffirmed at the Financial Street Forum that the policies on preventing and addressing risks associated with virtual currency trading and speculation, in effect since 2017, remain valid and effective. He further stated that crackdowns on business activities related to virtual currencies would continue in order to safeguard economic and financial order. This statement has drawn an impermissible red line for China’s regulatory policy on virtual currencies. However, on the other side of reality, a stark paradox

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. On November 28, 2025, the People’s Bank of China, jointly with the Ministry of Public Security, the Supreme People’s Court, the Supreme People’s Procuratorate, and other departments totaling thirteen, convened the “Coordination Mechanism Meeting to Crack Down on Virtual Currency Trading and Speculation,” reiterating that business activities related to virtual currencies constitute illegal financial activities and emphasizing that a high-pressure stance will be maintained in cracking down on various forms of virtual currency trading and speculation. Coincidentally, the following day, Mankun Law Firm and Beijing Dongwei (Zheng

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In internet companies (especially gaming platforms), personnel in technical, operational, and other roles who have direct access to system interfaces, backend data, and internal administrative privileges may, once they engage in unauthorized operations or misconduct driven by profit, rapidly evolve into typical scenarios involving suspected duty-related crimes. This is not uncommon in judicial practice. However, in judicial practice, acts such as “modifying data” and “reselling for cash” may, depending on the region, the handling personnel, or even between the first and second instances of the same case, result in completely different legal characterizations: theft, embezzlement by reason of position, or illegally obtaining data from computer information systems?

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultation, or business exchanges, please add: sswls66 In May 2025, the Haidian District People’s Procuratorate released the White Paper on Prosecutorial Work Against Commercial Corruption (2020–2024). The white paper shows that corruption cases in the internet sector increased by 23% year-on-year in 2025, with the involved demographic trending younger; 73% of those involved were practitioners around the age of 30. Meanwhile, major internet companies such as Meituan, Tencent, and Alibaba have successively strengthened their internal anti-corruption mechanisms.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. In 2025, the rapid iteration of generative AI is reshaping the way information is acquired, causing structural loosening in the traditional SEO system. According to the "2025 Report on the Development of Generative AI Applications" issued by the China Academy of Information and Communications Technology (CAICT), 68% of leading enterprises have included "GEO Optimization" (Generative Engine Optimization) in their annual budgets.

Always remain vigilant against promises of high returns.

Compliance is not a betrayal of original principles, but an inevitable path for Web3 projects to enter the mainstream.

Written commitments, signed agreements, and on-chain credentials are your certainties in this highly volatile world.

Whether a token is utility or security is not determined by the whitepaper

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66. Recently, regulatory authorities have intensively released policy signals regarding virtual currencies. Following the meeting of the Coordination Mechanism for Combating Virtual Currency Trading and Speculation convened by the People's Bank of China on November 28, 2025, seven industry associations jointly issued the Risk Warning on Preventing Illegal Activities Involving Virtual Currencies and Other Matters on December 5, 2025, further demonstrating a clear and strong regulatory stance. In this risk warning,

Special Declaration: This article is an original work by Lawyer Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. “Personal jurisdiction” and “territorial jurisdiction” are fundamental concepts in China’s Criminal Law. However, for practitioners in the Web3 industry, these are often the most easily overlooked aspects and represent the greatest blind spots in their understanding. This article speaks through harsh, real-world cases, aiming to remind Web3 entrepreneurs and practitioners not to rely on luck due to “survivorship bias.” As long as you retain Chinese nationality while participating in a Web3 project, or if the project itself

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 With the rapid development of the Web3 industry, an increasing number of entrepreneurs, practitioners, and investors are entering the Web3 space, giving rise to new business models. However, under the stringent domestic policies such as the September 24 Notice, Web3 and virtual currencies remain in a regulatory gray area in Mainland China whenever they involve financial transaction activities. Consequently, most project entities are established overseas to mitigate domestic legal risks. In

In the world of Web3, technology may be at the forefront, but the law must not remain a blank slate.

Polymarket’s operations are highly intuitive—creating “markets” for trending events

As lawyers, our duty is not only to initiate proceedings, but also to assess risks for our clients and select pathways that genuinely hold promise for recovering losses.

From Token Issuance Alone to a Dual Engine of “Equity + Tokens”

Stablecoins are a form of virtual assets.

Adequate regulation, controllable costs, flexible structure, and a favorable tax regime

Adopting the most pragmatic perspective to clarify the true flow of profits in crypto payments.

Web3 KOLs are also required to fulfill compliance obligations.

This case is the only one among the numerous appeals in the series of cases involving the crypto asset exchange accused of operating a casino where the judgment was revised on appeal.

Digitization of equity, globalization of financing, and standardization of compliance procedures

A triple win for the state, investors, and the Hong Kong market.

It is essential to affirm their value while also confronting the conflicts and challenges they pose to the existing legal framework.

Dual Drivers: Equity Financing and Token Incentives

"Anti-money laundering" has never been a set of restrictive rules; rather, it is an opportunity to rebuild the trust system.

Combining a Type 1 License with a VATP Omnibus Account to Establish an Operational Pathway

Technology resolves efficiency; risk control determines survival.

The early frenzy of “everything can be RWA” will eventually fade, as asset issuance accelerates its concentration among high-quality credit institutions.

Lecturing on Web3 at Peking University

The more standardized, the more compliant.

Applying for a license is a technical endeavor; choosing where to apply is an even more specialized task.

User experience is important

The current situation is somewhat awkward.

True globalization is not about being accessible to everyone, but about being used in compliance with the law.

A DAT company is not a fixed template, but rather resembles a spectrum.

A Historical Transition

A Guide to the Division of Crypto Assets in Divorce

As if there were light

Interpreting the Key Legal Points in RWA Issuance

Do not leave digital assets to fate.

Trust in AI

An On-Chain Foreign Exchange Market

Drawing on prior case handling and advisory engagements, this article outlines the risk issues of greatest concern and most prone to misjudgment by Web3 job seekers.

Figure’s compliance pathway is not an attempt to circumvent regulation.

Identifying risks and providing pathways.

This regulatory reshuffle is not a rejection of innovation, but a critical step in moving the crypto market from an “experimental phase” to a “mature phase.”

The passage of the draft Polish Crypto-Assets Act marks a new phase in the country's crypto regulatory framework!

Only by maintaining reverence and proceeding in compliance can one remain invincible when the tide recedes.

Returning to the essence of legal theory to clarify the boundary between criminal and non-criminal conduct.

Navigating the dark forest of Web3, facing sudden regulatory risks, Mankun Law Firm's lawyers help you gain insight into trends and avoid pitfalls!

“Do no evil” is the lifeline for Web3 practitioners.

Comprehensive tracking and analysis of the stablecoin industry.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66.

Custody mechanisms effectively reduce the probability of fraud and minimize transactional disputes!

Illegality Does Not Equate to Non-Adjudicability

In 2025, Apple and Google are tightening their listing policies for Web3 applications.

The promulgation of MiCA has brought these innovative businesses under a unified regulatory framework for the first time.

Please complete the form as soon as possible!

Hidden Criminal Traps Beneath the Cultural Boom

The First Firewall for Web3

Core considerations for mitigating criminal risks at the framework level

In many token staking projects, Web3 project studios often participate directly in the operational aspects of the project with the primary objective of obtaining commissions or token rewards.

It presents both opportunities and a breeding ground for fraud.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66 In the Web3 industry, the emergence of each new concept brings entrepreneurial opportunities, but it also introduces legal uncertainties in model design. From blockchain games and NFTs to DeFi and stablecoins, nearly every popular sector has seen projects expand rapidly, accompanied by attention from judicial authorities. The Chengdu “GUCS Qilin Mining Machine” case is one of the larger-scale cases in recent years. In 2023, the court issued a judgment in this case:

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Consider the following scenario: Suppose you are a payment company. Due to intense domestic competition, you seek to expand overseas by partnering with a licensed overseas payment institution to provide cross-border payment and technical services. Under this model, merchant qualification reviews are conducted by the local platform in the relevant country. You interface solely with the payment institution and charge service fees in accordance with the contract. The collaboration has continued for two to three years, with everything appearing compliant and stable. However, one day, domestic police suddenly intervene and

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 The "September 4 Announcement" of 2017 and the "September 24 Notice" of 2021 have clearly stated that initial coin offering (ICO) financing is prohibited within mainland China, and virtual currency trading is deemed an illegal financial activity. This is widely understood within the industry. However, in practice, a large number of Web3 studios remain active in the market, conducting business centered around virtual currencies and Web3. In his daily practice, Attorney Shao frequently...

Three Structures for Equity Tokenization + A Practical Guide to Regulation in Four Jurisdictions

As the concept of RWA (tokenization of real-world assets) gains popularity, more and more enterprises are considering: Can I also move my assets on-chain? Can I raise funds, provide liquidity, and attract global investors? However, the reality is that RWA is far from simple. From asset structure design, legal compliance, regulatory filings, to smart contract deployment and token issuance and circulation, this is not a "token issuance" project, but a systematic engineering effort spanning both on-chain and off-chain domains. This article will help you clearly understand: The five key issues enterprises must address when undertaking RWA projects; What challenges lawyers can help you resolve at each step; Why these pitfalls must be avoided sooner rather than later. Pitfall One: Assets do not exist merely by claim; you...

Introduction With the passage of the Stablecoin Ordinance in Hong Kong, the market has seen a surge of interest in “stablecoins.” Financial authorities in Beijing, Zhejiang, Shenzhen, Suzhou, Chongqing, Ningxia, and other regions have successively issued risk warnings, emphasizing that “stablecoins” are being exploited by criminals as a pretext for illegal fundraising, financial fraud, and other criminal activities. The potential risks warrant heightened vigilance. Why are emerging concepts such as stablecoins frequently exploited by criminals and used as instruments for illegal fundraising, fraud, and other unlawful activities? Why Have Stablecoins Become Instruments of Illegal Fundraising Risk? Stablecoins themselves are a neutral technological tool; their original design intent was to address volatility in the crypto asset market.

Recently, the team led by Attorney Mao Jiehao of Mankun Law Firm successfully represented a client in a crypto mining rig investment dispute. After facing unfavorable outcomes with dismissals at both the first and second instances, the case was ultimately retried and reversed by the Provincial Higher People's Court, which upheld our client’s claims and recovered significant investment losses. In this case, the investor had committed substantial funds to a crypto mining rig project but failed to receive the agreed-upon returns or principal repayment. The courts of first and second instance had dismissed the claims on the grounds that “the relevant investment activities involved virtual currencies, and thus the losses should be borne by the investor,” leaving the case at an impasse. Since the first instance, Mankun Law Firm’s Attorney Mao Jiehao’s team served as counsel...

In cases involving crypto asset exchanges handled by our team of lawyers, investigators often describe perpetual contracts in interrogation records as a gambling game of guessing price movements, aiming to characterize exchange personnel as guilty of the crime of operating a casino. Consequently, subsequent case-handling personnel, relying solely on these records, may mistakenly perceive perpetual contracts as games of chance similar to guessing big or small. In discussions with peers on whether perpetual contracts constitute gambling, the debate often devolves into arguments such as: "Are perpetual contracts futures? If so, why is there no physical delivery? Perpetual contracts use leverage and are subject to forced liquidation!" Even if I can demonstrate that perpetual contracts are a new form of futures—drawing an analogy to index futures, which also lack physical delivery—it seems difficult to persuade the other party.

Case Overview On September 29, 2025, the largest bitcoin money laundering case in history will be retried. Zhang Yadi (legal name Qian Zhimin, also known as Huahua) is represented by Roger Sahota of Berkeley Square Solicitors (BSQ). Public information on the firm’s official website states that Zhang Yadi “denies all allegations of money laundering” and contends that the bitcoins seized by the authorities do not constitute “proceeds of crime.” In other words, the defendant has adopted a thorough not-guilty defense stance. Image source: Berkeley Square Solicitors

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. Throughout the entire litigation process in criminal cases, parties are informed that “if you plead guilty and accept punishment, you may receive lenient treatment.” However, some parties still choose not to sign the Affidavit of Pleading Guilty and Accepting Punishment during the procuratorial stage. When the case reaches the court stage, they ask me, “Attorney Shao, can I refuse to plead guilty at trial?” I fully understand this mindset. The vast majority of parties are deeply reluctant to “plead guilty”.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. When I was a student at East China University of Political Science and Law, preparing for the Judicial Examination (now known as the Legal Professional Qualification Examination), one of the subjects was Jurisprudence. Within Jurisprudence, there was a chapter titled "The Role and Limitations of Law." It stated: Law possesses stability, whereas real life is diverse and multifaceted; a law that applies permanently is merely a fantasy; Law possesses conservatism, always lagging behind changes in real life; Even well-drafted laws require

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposts, legal consultations, or business exchanges, please add: sswls66 On July 24, 2025, two cases of internet-related occupational crimes were disclosed successively: First, the former CEO and logistics supervisor of Ele.me were found by the Shanghai Police to have accepted substantial commercial bribes during their tenure, with RMB 40 million in bribes hidden in multiple rented properties; Second, a senior executive at a major short-video platform in Beijing colluded with external parties by manipulating reward policies and onboarding approvals, embezzling RMB 140 million from the platform and converting the funds into Bitcoin.

Compliance is the key to the future

A single character difference, yet a vast distinction!

The higher the income, the greater the risk.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. In recent years, Attorney Shao has represented numerous programmers or technical teams who faced criminal liability for providing technical services, including: representing the legal representative of a technology company accused of aiding information network criminal activities for providing software development services; representing an NFT digital collectibles platform charged with fraud; representing a well-known Web3 news platform subject to cross-regional law enforcement proceedings due to compliance issues; representing members of the founding team of a certain exchange (CTO)

Pursue Criminal or Civil Remedies?

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. Author of this article: Attorney Shao Shiwei. A Brief Case Study—On the Importance of Litigation Strategy: A purchased a certain imported food product from a supermarket. Assuming it is indeed an unsafe food product, if A seeks tenfold compensation for counterfeit goods, how should the litigation strategy be formulated? Analysis: According to the Food Safety Law, A may sue the business operator. The question arises: Should A sue the supermarket or the importer? Will the outcome differ? Reverse reasoning is required: If the court determines that

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposts, legal consultations, or business exchanges, please add: sswls66 Author: Attorney Shao Shiwei I. Concepts (1) Concept of the Medical Treatment Period: The medical treatment period refers to the period during which an employee stops working to receive medical treatment and rest due to illness or non-work-related injury, and during which the employer may not terminate the labor contract on such grounds.[1] Where an employee suffers from illness or a non-work-related injury, they shall be entitled to a medical treatment period of 3 to 24 months, determined based on their total years of actual work experience and their years of service with the current employer. (2) Special Provisions on the Medical Treatment Period in the Shanghai Region[

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66 Abstract: The daughter (Xiao Li) and grandson (Huang Xiaoxiao) tragically passed away at 11:00 a.m. on the same day after being involved in an accident while boarding a flight operated by Taiwan XX Airlines in February 2015. The incident occurred at the Shuimen area on Jingyuan Road, Nangang District, Taipei City. The parents, both over seventy years old (the elder Li couple), and the son-in-law (Mr. Huang) failed to reach an agreement regarding the distribution of the multi-million estate left behind after the deaths of the daughter and grandson in the air disaster. The two elderly individuals, as plaintiffs,

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposts, legal consultations, or business exchanges, please add: sswls66 Author: Attorney Shao Shiwei Acts involving the forgery, alteration, or trading of certificates and seals are subject to relevant provisions under both the Criminal Law of the People's Republic of China and the Law on Administrative Penalties for Public Security. ·01· Criminal Law Article 280 [Offense of Forgery, Alteration, and Trading of Official Documents, Certificates, and Seals of State Organs] [Offense of Theft, Snatching, and Destruction of Official Documents, Certificates, and Seals of State Organs] Whoever forges, alters, trades, steals, snatches, or destroys official documents, certificates, or seals of state organs...

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Author of this article: Attorney Shao Shiwei. 1. Small-value items exchanged as customary gifts are generally treated as gifts, and claims for their return are typically not supported. 2. Expenses for joint consumption by both parties, such as purchases of clothing, food, and other daily necessities, or costs for joint travel, although paid by one party, are generally not recoverable because the funds have already been consumed. 3. Valuable property may be subject to return at the court’s discretion. In adjudicating such cases, courts generally consider factors such as local economic conditions.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66 [Summary] The Procuratorate believed that the defendant’s offense occurred during the probationary period for suspension of sentence. If this were true, the defendant would be subject to combined punishment for the current crime and the prior crime, resulting in a sentence of more than three years. Upon the defense counsel’s application to the court for investigation and evidence collection, the facts were clarified, and the defendant was ultimately sentenced to approximately one year of imprisonment.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 [Case Facts] The defendant, Zhou, purchased more than 300 items of sexual enhancement drugs valued at over RMB 1.8 million from Li (who had already been sentenced). In the same year, Zhou entrusted Ni to handle customs declaration procedures with Yiwu Customs for exporting part of the aforementioned sexual enhancement drugs and 18 boxes of aphrodisiac soap to a city in Africa, under the guise of goods such as glass cups and plastic knitted bags. The aforementioned goods were seized on-site by Yiwu Customs. Upon appraisal, the outer packaging and instructions of the batch of sexual enhancement drugs and aphrodisiac soap

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction After a company is deregistered, if it has not fully performed the relevant contracts previously signed with creditors, who shall bear the liability? Author of this article: Attorney Shao Shiwei 1 Case Summary [Case No.: (2021) Su 02 Min Zhong 1702] The defendant company had established a liquidation committee in early April but still signed a brand cooperation agreement (franchise) with the plaintiff in late April. The defendant was deregistered in July. The plaintiff’s store opened in July and closed in December.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction Corporate layoffs, under legal provisions, require filing; otherwise, there may be risks involving wrongful termination. However, some entities adopt the "clever tactic" of "batch layoffs" to evade the filing procedure, which often backfires and carries a high probability of constituting wrongful termination. Author of this article: Attorney Shao Shiwei Case The Court holds: According to legal provisions, where serious difficulties arise in production and operations, necessitating the reduction of twenty or more employees, or fewer than twenty employees but accounting for ten percent or more of the total number of the enterprise's employees, the employer shall explain the situation to the trade union or all employees thirty days in advance, solicit opinions from the trade union or employees, and report the layoff plan to the labor administrative department before reducing personnel. In this case, XX Company claimed that it faced operational difficulties and met the conditions for layoffs, but it failed to provide relevant evidence proving that it had fulfilled the relevant statutory procedures for economic layoffs. Therefore, XX Company's termination of the labor contract with Yu Qingrui did not comply with legal provisions and was deemed illegal, and it should pay compensation to Yu XX for the wrongful termination of the labor contract.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultation, or business exchanges, please add: sswls66 “Regarding whether to sign a waiver of social insurance contributions: A friend recently consulted me on this issue. Given its broad relevance, I am summarizing the key points here to assist others who may encounter similar situations.” Scenario 1: To reduce costs, the company does not wish to make social insurance contributions for employees and requires them to sign a statement waiving such contributions. Scenario 2: The employee has limited legal awareness and believes that only cash in hand constitutes their own money, thus refusing to allow the company to make contributions.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66. Does being struck and injured by a vehicle while going out to smoke during working hours constitute a work-related injury? Author of this article: Attorney Shao Shiwei Case Facts: Xiao Li is an employee of a company in Hubei Province, working as a warehouse dispatcher. As company regulations prohibit smoking in the warehouse, at 9:30 a.m. on April 5, 2019, after working for a short period, Wu Yifan left the warehouse to smoke outside. On the way, a vehicle collided with a car parked on the roadside, and the latter vehicle then struck Wu, who was smoking by the roadside at the warehouse entrance.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. As such inquiries are frequently received, this article provides a brief summary for reference. Author: Attorney Shao Shiwei. I. Possible Scenarios Leading to Bank Card Freezing? ① Receiving transfers from unknown third parties; ② Engaging in private foreign exchange trading; ③ Having engaged in gambling, purchasing illegal online lottery tickets, or similar activities; ④ Conducting fund settlements in connection with foreign trade business; ⑤ Investing in virtual currencies or engaging in blockchain transactions; ⑥ The individual or their close relatives participated in illegal activities.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. In the face of unlawful infringement, can we “counter violence with violence”? —Reflections on the System of Justifiable Defense in Light of the Tangshan Assault Case: We Are All Just Ordinary People. Author: Attorney Shao Shiwei. In recent days, the Tangshan assault case has dominated trending search topics one after another. Those of us who have seen the surveillance footage are filled with indignation. However, hot-button incidents are invariably accompanied by online harassment. Today, news emerged featuring a statement from the female owner of the barbecue restaurant. [Play] But there are

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 “According to statistics, male offenders account for approximately 90% of criminal cases[1]. Therefore, a common scene during court hearings involves female prosecutors, female judges (as women are predominant within the state system), and myself as the defense counsel (a drama of three women) surrounding the seemingly weak, pitiable, and helpless defendant (male). In criminal cases, female parties account for only about 10%. ” Author of this article: Attorney Shao Shiwei Based solely on my own case-handling experience

Special Declaration: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice regarding specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In practice, clients frequently raise this question; therefore, we provide a consolidated response herein. Author of this article: Attorney Shao Shiwei. I. What Does 'Release on Bail Pending Trial' Mean? It refers to a compulsory measure in criminal proceedings whereby judicial authorities, such as public security organs, people's procuratorates, and people's courts, order criminal suspects or defendants who have not been arrested or whose compulsory measures need to be changed after arrest, to provide a guarantor or pay a security deposit.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: There are significant differences in sentencing standards between the Crime of Aiding Information Network Criminal Activities ("Bangxin") and the Crime of Concealing Criminal Proceeds ("Yanyin"). The maximum sentence for Bangxin is less than three years, whereas the maximum sentence for Yanyin is less than seven years. Therefore, correctly distinguishing between these two crimes is of utmost importance to the parties involved. Author of this article: Attorney Shao Shiwei We share a case of [minor crime defense] that we recently successfully handled: Xiao Wang and Xiao Zhang were coworkers at a construction site. One day,

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66 Introduction: “Skipping the intermediary” is not a strictly defined legal concept. The term commonly refers to the act whereby a client, leveraging exclusive information provided by an intermediary company, bypasses said intermediary to directly enter into a sales contract with the other party, thereby reducing the intermediary fees payable by the client or preventing the intermediary from obtaining its due remuneration. Author of this article: Attorney Shao Shiwei Body: The major controversy that emerged at the beginning of February 2022 has finally been resolved. Let us

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. A few days ago, our team received a consultation from a university student as follows: The two WeChat Moments posts shown above are both advertisements for daily-paid part-time job recruitment. In the first image, the job description states: “Used for corporate tax avoidance and streamer tax avoidance.” In the second image, the job description states: “Purchasing electronic products on behalf of others.” The part-time work described in these two advertisements appears to be safe, profitable, and easy. University students, who are inexperienced in society and hope to earn money through part-time work, upon seeing such information...

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: According to Article 303 of the Criminal Law of the People's Republic of China, the crime of opening a casino carries two tiers of sentencing: imprisonment of less than five years, and imprisonment of five to ten years. The crime of gambling has only one tier of sentencing, with a maximum of fixed-term imprisonment of not more than three years. In practice, where it is difficult to distinguish between the two offenses, judicial authorities are more inclined to classify the conduct as the crime of opening a casino. Improper conviction may result in a heavier sentence for a lesser offense. Author of this article: Attorney Shao Shiwei Crowd-gathering

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. Over-the-counter (OTC) trading in the cryptocurrency sector, simply put, involves the simultaneous exchange of fiat currency for virtual assets. China does not prohibit trading activities between individuals. Mainstream individual OTC merchants operate on major platforms such as exchanges and wallets, conducting transactions with users who trade cryptocurrencies. Although OTC merchants perform Know Your Customer (KYC) verification on users, the vast majority of merchants lack the capability to identify illicit funds. Furthermore, as merchants’ transaction volumes increase, encountering illicit funds becomes difficult to avoid. The previous arrest of Zhao Dong, a prominent figure in the cryptocurrency circle (founder of the digital currency financial platform RenrenBit and co-founder of Moji Weather), caused significant shock within the industry.

Special Disclaimer: This article is an original work by Lawyer Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Recently, a court judgment has been widely circulated in various lawyer groups. This lawyer was also shocked by the plaintiff's claims. Out of curiosity and a desire to follow the drama, I located the first-instance and second-instance judgments for this case, intending to study them carefully, but unexpectedly nearly died laughing. Basic Facts: Ms. An went to the Plastic Surgery Hospital of the Chinese Academy of Medical Sciences for double eyelid surgery, spending 3,000 yuan. As the results did not meet her expectations, she sued demanding a refund of medical expenses, the execution of the doctor, revocation of the doctor's practicing license, compensation for economic losses, etc.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66. Providing bank cards, WeChat Pay, Alipay accounts, or other means to assist others in transferring funds may implicate the assisting party in criminal liability if the upstream activities are suspected of constituting criminal offenses. Such involvement may give rise to relevant charges under the Criminal Law. This article will sequentially introduce the potential criminal charges associated with such conduct: the crime of aiding information network criminal activities; the crime of concealing or disguising the proceeds of crime and the gains derived therefrom; the crime of illegal business operations; or complicity in the upstream crime, thereby constituting joint liability with the upstream

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. Recently, many inquirers have asked: “I’ve always heard that being a USDT merchant is quite profitable, and I see many people doing it online. Are there any legal risks?” Therefore, today I will discuss my views on the business of OTC merchants arbitraging USDT. Author of this article: Attorney Shao Shiwei. 01 What Does “Arbitrage” Mean for OTC Merchants (USDT Merchants)? It usually refers to USDT merchants on virtual asset...

Special Declaration: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66. The hit movie "No More Bets" has sparked a new wave of anti-fraud publicity online, drawing greater public attention to Northern Myanmar, a region bordering China. In the film, Chinese police conduct cross-border arrests of fraud syndicates, successfully bringing the perpetrators to justice. According to officially disclosed data, in 2020 alone, losses from telecommunications fraud in China exceeded RMB 35 billion, with over 60% of cases involving overseas dens.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: According to an article published by Wu Blockchain, the crypto exchange Bybit sued Ms. Ho, who was responsible for payroll payments within the company, for abuse of power, alleging that she transferred a large amount of USDT to addresses secretly owned and controlled by her. A total of 4,209,720 USDT were transferred, resulting in USD 117,238.46 being paid into her personal bank account [1]. In the crypto circle, litigation involving executives is not uncommon,

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66 Introduction: Under China’s current regulatory policies and judicial practice, the property attributes of virtual currencies are recognized, but their issuance and use as currency for domestic transactions are prohibited. DeFi comprises a series of financial activities based on blockchain technology, with virtual currencies as the primary subject. Given China’s stringent regulatory environment, operators of DeFi-related businesses often establish their operating entities overseas. Can this approach bypass regulation and evade domestic criminal

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: Loan facilitation institutions refer to intermediary service providers that conduct preliminary screening of users through traffic redirection and facilitate cooperation between users and lending institutions. During the user screening process, loan facilitation companies need to collect user information. Not only small companies, but even industry leaders and well-known listed companies in the loan facilitation sector, have, to varying degrees, engaged in the illegal or non-compliant collection of citizens' personal information. Therefore, many small and medium-sized enterprise owners engaged in loan facilitation business...

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultation, or business exchanges, please add: sswls66 Introduction According to reports by WuShuo, personnel associated with the GameFi project Tiny World are suspected of being under investigation by the police. In 2022, Tiny World completed a USD 2.5 million financing round. Tiny World is a game that integrates NFT and GameFi elements, allowing players to collect over 100 Tiny Hero NFTs within the game and earn yields. When it comes to GameFi

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposts, legal consultations, or business exchanges, please add: sswls66 Introduction: With the development of technologies such as 5G, blockchain, and VR, the gaming sector is continuously exploring and advancing from Web2 toward Web3. Dao of Dragon, as one of the first metaverse game projects in China, is a metaverse dragon-raising game themed around dragons and operated on the BSN blockchain. Since the platform’s launch, it has maintained significant popularity, users have achieved considerable returns, and its various gameplay modes have also

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: Have you ever considered that you yourself could become an NFT? The recently popular platforms Friend.tech and Time Store operate on this model. Key Opinion Leaders (KOLs) issue their own NFTs on these platforms, and fans can interact with the KOLs after purchasing them. Is this model truly permissible in China? This article provides an introduction and analysis. Author: Attorney Shao Shiwei 01 Friend.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultation, or business exchanges, please add: sswls66 Introduction: A publication license number (commonly referred to as a "banhao" or license number) serves as the "birth certificate" for a game. Under the Provisions on the Administration of Online Publishing Services, operating and charging fees for a game without obtaining a game license number may subject the operator to a series of punitive measures, including fines of up to ten times the illegal business revenue, website closure, and confiscation of illegal gains. However, due to policy reasons in China, game license numbers are strictly controlled. In recent years, the annual number of game license numbers issued has been

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: As a highly popular digital collectibles platform that attracted significant attention in 2023, Chao Wan Universe is an innovative blockchain gaming project that combines trend culture, NFTs, and blockchain technology. For example, the "Battle Royale" gameplay within the platform has been well received by users. Does this viral blockchain gaming project entail any relevant legal risks? This article provides an analysis thereof. Author of this article: Attorney Shao Shiwei 01 Introduction to Platform Gameplay Chao Wan Universe (formerly

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 On October 29, 2023, the INweb3 community organized a sharing session discussing topics related to AI and Web3.0 applications. Attorney Shao Shiwei from Mankun Law Firm was invited to participate and shared on the topic "Compliance Guide for 'Blockchain Gaming' Startups." This article is the transcript of that presentation. Author: Attorney Shao Shiwei 01 What is Blockchain Gaming (GameFi)? GameFi stands for game + fi

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: Recently, I received a consultation regarding a platform that intends to launch a clone similar to the “Battle Royale” mini-game found in Chao Wan Universe. The platform is concerned whether setting up mechanisms that consume players’ fragments (virtual coins, items, etc.) would be deemed as the platform taking a “rake,” and whether this would entail legal risks of suspected criminal liability for operating a casino. This article provides answers to these questions. Author: Attorney Shao Shiwei 0 1 Platform Taking a “Rake” Through Fragment Consumption = Operat

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: On October 18, 2023, a live-action simulated romantic interactive game titled “Love Is All Around!” (hereinafter referred to as “Love Is All Around”) was launched on Steam. Since its release as a paid game, its popularity has continued to rise, topping the best-seller chart in the Steam China region and surpassing major free-to-play titles such as PUBG, CS2, and Apex. As of November 2, its positive review rate reached 9

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultation, or business exchanges, please add: sswls66 Introduction: To enhance user engagement with games, many game operators establish points malls where users can redeem in-game points for physical items or gift cards/vouchers, such as shopping cards and mobile phones. Is this practice lawful? On July 15, 2023, the Guiyang Procuratorate’s official WeChat account published a case titled “Operating an Online Casino: Prosecuted! Sentenced! Judgment Effective!” In the game “Crazy Fishing,” the game operator was involved due to its in-game

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: On November 29, the Jinzhou Public Security Bureau issued an official announcement stating that the Taihe Branch of the Jinzhou Municipal Public Security Bureau successfully solved a case involving the operation of a casino through a live streaming platform. The total amount of funds involved in gambling exceeded RMB 17 million. 0 1 Suspects Allegedly Include DouYu Streamers According to police reports: The suspect, Zhou, was a streamer of the "PlayerUnknown's Battlegrounds" (PUBG) game on a certain platform. From 2019 to 2022, in order to increase the popularity of his live stream room and boost income

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposts, legal consultations, or business exchanges, please add: sswls66 Introduction: According to a notice issued by the Dujiangyan Public Security Bureau, Chen Shaojie, Chairman of the Board and CEO of DouYu, was arrested on suspicion of the crime of operating a casino. Prior to this, there had been continuous news reports exposing that DouYu streamers were engaging in gambling activities by exploiting the platform’s live-streaming lottery rules. For instance, the DouYu streamer “Shan Shan Jiu Outdoor” was sentenced by the Dujiangyan Court last year. In addition, there was the so-called “DouYu’s Largest Casino,” the “Changsha Rural Daredevil Squad,” which had previously been exposed by the media.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultations, or business exchanges, please add: sswls66 Introduction: Live streaming platforms, streamers, and live streaming guilds are several fundamental entities in the online live streaming industry. There can be various cooperation models among them. The complex legal relationships and financial interactions between these entities determine that if a streamer or platform is involved in gambling, it is difficult for a live streaming guild to remain "unaffected." Author of this article: Attorney Shao Shiwei 01 What Is the Nature of a Live Streaming Guild? Before analyzing the legal risks of live streaming guilds, I

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposts, legal consultations, or business exchanges, please add: sswls66 Introduction: In my previous articles, I analyzed why live streaming activities may involve gambling, as well as the legal risks faced by streamers, live streaming platforms, and streaming guilds. Regardless of how innovative the gambling-related mechanics in live streaming rooms become, their essence remains unchanged: they always involve "paid entry," "leveraging small stakes for large gains," and "cash or physical prizes." If streamers, platform operators, or guilds are arrested for suspected operation of a casino due to live streaming mechanics, key considerations for criminal defense include

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: On December 16, 2023, the Guangdong High People’s Court published an article titled “You Cannot Profit from This Price Difference!” which caused an uproar in multiple WeChat groups dedicated to cryptocurrency trading. Whether they were over-the-counter (OTC) merchants, on-exchange USDT traders, or ordinary cryptocurrency speculators, anyone who had engaged in arbitrage through virtual currency trading (“brick-moving”) was discussing in these groups: What does the crime of illegal business operations mean? Can the business of “arbitrage through brick-moving” still be conducted in the future? Will continuing to do so lead to arrest?

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: On December 22, 2023, the National Press and Publication Administration released the Notice on Soliciting Public Comments on the “Measures for the Administration of Online Games (Draft for Public Comment)” (hereinafter referred to as the “Draft Measures”). Upon its release, the stock prices of major game publishers plummeted. (How many billions in market capitalization evaporated? Countless, truly countless. Indeed, capital markets have always been the most responsive to policy and regulatory developments.)

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: The days of USDT merchants are becoming increasingly difficult. Following the Guangdong High People’s Court’s release of typical cases on December 16, in which USDT merchants were convicted of illegal business operations (for attorney interpretation, see → “Has Illegal Business Operations Become a High-Frequency Criminal Charge for Crypto Circle USDT Merchants?”), CCTV News reported another major story on Christmas Eve yesterday: Shandong Qingdao Solves Major Underground Banking Case The key perpetrators were those buying and selling virtual...

Special Disclaimer: This article is an original work by Lawyer Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. Over the past year, we have successively engaged with numerous professionals from traditional sectors such as fintech, payments, and data services who sought consultation. Among them are backend developers deeply involved in coding, senior engineers overseeing architectural design, product managers driving business implementation, and technical leads responsible for system iterations. Most of these individuals have accumulated years of experience in their respective fields, yet at a certain stage in their career development, they have begun to take interest in “Web3”, a once-distant new industry—not out of passion or blind adherence to trends, but because their existing career paths have gradually narrowed, while Web3 appears to offer another realm of possibility.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposts, legal consultations, or business exchanges, please add: sswls66 Introduction: In my article dated December 25, “The State Administration of Foreign Exchange Takes Action! More and More USDT Merchants May Be Convicted of Illegal Business Operations!”, I accurately predicted the joint announcement issued today, December 27, 2023, by the Supreme People’s Procuratorate and the State Administration of Foreign Exchange 👉🏻👉🏻👉🏻 “Typical Cases of Punishment for Crimes and Violations Involving Foreign Exchange Jointly Released by the Supreme People’s Procuratorate and the State Administration of Foreign Exchange.” Recently, illegal business operations related to virtual currencies...

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: On December 27, 2023, the Supreme People's Procuratorate and the State Administration of Foreign Exchange jointly issued the "Typical Cases of Punishment for Foreign Exchange-Related Crimes and Violations Jointly Released by the Supreme People's Procuratorate and the State Administration of Foreign Exchange." The conduct in these eight cases was basically carried out through "matched offsetting" of foreign exchange. Today, we introduce another typical case: a father and daughter collaborated to introduce others to buy and sell foreign exchange, and both were convicted of the crime of illegal business operations. Through Attorney Shao's previous

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66 Introduction: On January 3, 2024, the Shanghai Municipal Tax Service of the State Administration of Taxation published an article titled “Common Misconceptions Regarding Business Income and Classified Income for Individual Income Tax” on its official WeChat account, pointing out that: Individuals trading virtual currencies online are required to pay individual income tax. Consequently, the crypto community was stirred up again. Many friends asked, “Attorney Shao, does the requirement to pay tax on virtual currencies mean that trading virtual currencies will be legal in China in the future? Does the state recognize virtual curren

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposts, legal consultations, or business exchanges, please add: sswls66 Introduction: On December 4, 2023, the online voting for the “Top Ten Cases Promoting the Rule of Law in the New Era – 2023 Annual Selection,” jointly organized by the Supreme People’s Court and China Media Group, was officially launched. One of the highly anticipated cases was the “Zhou Zhuohua Cross-Border Gambling Criminal Syndicate Case.” According to case details disclosed by the Wenzhou Intermediate People’s Court, since 2007, a shareholder of Macau Sun City Gaming Intermediary One-Person Limited Company,

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: The fact that a party is investigated by public security organs for alleged involvement in the crime of opening a casino, and subsequently subjected to detention, arrest, or released on bail pending trial, does not represent the final outcome of the case. According to the provisions of the Criminal Procedure Law, the prerequisite for a court to render a guilty verdict is that the facts of the case are clear and the evidence is credible and sufficient. Otherwise, a not guilty verdict should be rendered. Combining relevant not guilty judgments in cases of opening a casino, Attorney Shao categorizes the circumstances under which courts render not guilty verdicts

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultation, or professional exchange, please add: sswls66 Introduction: Some detained parties, seeking lenient punishment or facing a prisoner’s dilemma, may choose to report and expose their co-defendants in hopes of reducing their own criminal liability. Is it effective? No. The court will hold that reporting and exposing co-defendants is an inherent obligation arising from the defendant’s duty to truthfully confess, and such conduct cannot be recognized as meritorious service. After all these efforts, ending up with futile exertion would be one thing; but if the reported co-defendant gets what they wish for

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: The gaming industry has consistently been one of the fastest-growing and most profitable sectors globally. In traditional games, operators retain control over the game environment, resulting in a lack of transparency and trust in the market. In exceptional circumstances, such as server shutdowns, players' interests cannot be adequately safeguarded. Compared to traditional games, Web3 games (also known as GameFi or blockchain games) leverage blockchain technology to empower each player to control their own

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: As indicated in the title. This is a question posed to Attorney Shao a few days ago by a game developer, referred to here as Little A. Due to the difficulties in obtaining game license numbers in China, their team is preparing to launch the game on Steam. Therefore, they sought legal advice on the key legal issues to consider when expanding games overseas. The initial discussion proceeded smoothly, covering topics such as copyright protection for games, personal information security protection, game rating systems, and the developer team’s consideration of transitioning to block-based operations.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: In September 2021, the National Development and Reform Commission and other departments jointly issued the "Notice on Rectifying Virtual Currency 'Mining' Activities" (hereinafter referred to as the "Notice"), effectively prohibiting mining activities in China. Subsequently, blockchain games gained popularity. Is there any correlation between these two phenomena? Some argue that virtual currency mining is machine-based mining, while blockchain gaming is human-powered mining, with no essential difference between them. Therefore, against the backdrop of the domestic ban on mining...

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: Due to relevant domestic laws, regulations, and policy provisions, publishing views or insights related to blockchain/virtual currencies on domestic social media platforms (such as Zhihu, Weibo, Douyin, etc.) can easily result in being deemed non-compliant, having posts deleted, or even accounts banned. Therefore, many influential figures and KOLs in the crypto circle are more active on Twitter (X). If a KOL's viewpoints gain increasing recognition...

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add contact: sswls66 Introduction: The slogan of blockchain games predominantly features the "play to earn" model. During the years when the pandemic swept across the globe, the blockchain game Axie Infinity unexpectedly became a livelihood tool for residents in the Philippines. Many local young people earned hundreds of dollars per month through this pet-raising game. Due to China’s relevant policies adopting a predominantly negative stance toward virtual currencies, the metaverse, and related concepts...

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: Recently, the magazine Chinese Prosecutors published an article titled “Detailed Analysis of a Doubtful Case: Judicial Determination of Money Laundering Involving Virtual Currencies,” which discusses a case handled by the Changning District People’s Procuratorate in Shanghai. In this case, a USDT trader was convicted of the crime of concealing or disguising the proceeds of crime. The defendant, Xiao, who made illicit gains of RMB 6,000, was sentenced to three years and three months of fixed-term imprisonment. Attorney Shao has previously written about criminal cases involving USDT traders engaging in virtual asset transactions.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66 Introduction: On February 21, 2023, Binance listed its 47th project, Portal. Users could obtain PORTAL token rewards by staking BNB and FDUSD on the Launchpad website. Previously, during the Binance Launchpad sale of Axie Infinity, its price surged from an initial $0.1 to $16

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: NFT staking is a common gameplay mechanic in Web3 games, where players can earn platform rewards by staking their existing NFTs. Today, we will discuss the mechanics of NFT staking from a legal perspective. Author: Attorney Shao Shiwei 01 Introduction to NFT Staking Mechanics in Web3 Games Taking The Sandbox as an example for illustration. The Sandbox is a

Special Declaration: This article is an original work by Lawyer Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. Risk Warning: All relevant materials and news information in this article are sourced from publicly available information on the internet. They do not represent the author’s specific legal opinions or investment recommendations and are provided solely for exchange, discussion, study, and reference by relevant industry practitioners. Introduction: Recently, I came across a blockchain game named 'Carter World.' The platform launched in late February 2024. Although it has been online for only about ten days, market enthusiasm appears to be quite strong. Having long been an observer in the blockchain gaming circle...

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: A client recently consulted me, stating that he served as a nominee legal representative for a friend’s Texas Hold’em club. However, just two months after opening, the club was reported to the authorities. The police raided the premises and made arrests. Several actual persons in charge of the club have been arrested and are currently detained in a detention center. The client is currently working in another city, and the police have not yet contacted him. Nevertheless, he is concerned about potential liability and is considering whether to return and surrender himself. Therefore, serving as a

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: Recently, two news items caught my attention. One was the launch of the public beta version of the trading card game Parallel on February 29, 2024. The other was that Degen Game, an esports game launched by DegenVerse, a Web3 gaming and esports entertainment platform (a real-time strategy game combining MOBA and card elements, also known as the Web3 version of Clash Royale), received

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultation, or business exchanges, please add: sswls66 Successful criminal defense is always the reward for firmly believing in correct judgments, choosing the optimal path and methods, and persevering through long periods of helplessness or even despair. In 2023, a loan facilitation company was accused of committing the crime of infringing citizens’ personal information. The company was investigated in February 2023, and the police immediately released extensive press releases online. (Screenshot of publicly reported content from the Shanghai Police press release) Attorney Shao has handled

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: It appears to be a consensus in the gaming industry that mid-to-heavy games with in-app purchases and paid features require a game license, whereas casual games without in-app purchases or payments temporarily do not. However, in practice, such as in two cases published in 2022 on the official website of the Zhaoqing City Anti-Pornography and Illegal Publications Office in Guangdong Province, the three penalized games had no in-app purchases and relied solely on advertising for monetization. It is reported that for several casual game products of the enterprises involved, the share of advertising revenue received was only

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: Few people carry cash in their pockets nowadays, as mobile payments have permeated every aspect of our lives. Therefore, if one day you had to pay cash even for a bowl of Hulatang (spicy soup), it would be truly devastating. Money laundering assistance (“running points”), lending bank cards, withdrawing online gambling proceeds, receiving foreign trade payments, telecom fraud, private currency exchange, and trading virtual assets are high-frequency scenarios leading to card freezes by public security organs. If your bank card is frozen, do not panic; this article tells you what you should do.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: Some individuals, considering that official channels such as banks involve high handling fees, long processing times, and the requirement to visit designated branches, opt for private currency exchange. This is particularly common among friends living abroad for extended periods, such as those conducting business overseas or international students, who frequently encounter situations involving mutual currency exchange among acquaintances. However, Attorney Shao has recently received numerous inquiries regarding frozen bank accounts resulting from private currency exchanges. Therefore, it is deemed necessary to provide legal education on the potential legal risks associated with private currency exchanges.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposts, legal consultations, or business exchanges, please add: sswls66 Introduction: Some individuals may have been trading crypto assets for many years without incident, happily profiting from arbitrage; yet others, who may have engaged in only one or two occasional transactions, have found their bank cards frozen. What is going on? Is crypto trading illegal? Why was my card frozen? How can it be unfrozen? This article addresses these questions. 01. Is Crypto Trading Illegal? Some crypto traders quietly ask Attorney Shao, “A friend of mine trades...

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66 Introduction: Friends in the foreign trade circle should have heard of the “frozen card wave” affecting Yiwu foreign trade operators around 2021—due to the common practice of overseas partners of Yiwu merchants settling payments through underground banks, combined with the nationwide “Card Breaking Campaign” launched by public security organs at the end of 2020, hundreds of thousands of Yiwu merchants had their bank accounts frozen by public security authorities across the country. According to relevant media reports 1 , there were cases where

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the author’s personal views and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultation, or business exchanges, please add: sswls66 Introduction It is common in practice for bank accounts to be frozen due to virtual currency trading. Individuals who frequently trade crypto assets often take the initiative to understand relevant legal knowledge and are aware that China’s current policies do not prohibit the buying and selling of virtual assets. However, many clients have told me that when they communicated with the authorities responsible for freezing their accounts to request unfreezing, their requests were not only denied, but in some cases, they were subjected to harsh criticism. Given that they were also victims and that trading virtual assets is not illegal, why did they...

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction In the previous article → “Who Bears Liability for Receiving Stolen Funds in Virtual Currency Transactions?” Attorney Shao mentioned the “frozen card impasse” involving Mr. Wang, triggered by a virtual currency transaction: Mr. Wang was willing to compensate the reporting party only RMB 20,000, while the reporting party demanded full compensation of RMB 600,000 from Mr. Wang. As the two parties failed to reach an agreement, an impasse arose: the public security organs neither deducted the funds in Mr. Wang’s bank account nor unfroze his bank card.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on any specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: According to an official statement issued by STFIL Protocol, on April 9, 2024, its core technical team was being detained by Chinese police. This marks another instance where a Filecoin project developer has been investigated by domestic police, following the earlier investigations into Filecoin miners. According to the STFIL Protocol website, as a promoter of the Filecoin DeFi ecosystem

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66 Introduction: In April 2024, state media reported two cases involving the buying and selling of citizens' personal information using virtual currencies, with highly similar factual patterns. Due to characteristics such as decentralization, anonymity, transactional convenience, and the ability to bypass cross-border geographic restrictions, coupled with the fact that stablecoins like USDT are pegged to the US dollar and do not experience significant price fluctuations, virtual currencies have long become essential money laundering tools for black and gray market crimes. Additionally, as

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 In recent years, with the rapid development of the Web3 industry, an increasing number of programmers, smart contract developers, and outsourced technical teams have participated in system construction, contract deployment, and platform operations and maintenance for crypto-related projects, acting as on-chain engineers, project consultants, and in other capacities. However, many projects operating under the guise of “blockchain incentives,” “token rebates,” “GameFi gaming yields,” and “decentralized node rewards” are, in substance, implementing “

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66 Introduction: The ZKasino platform has recently attracted significant attention. After launching a reward campaign in March 2024 that allowed users to earn the platform’s ZKAS tokens by bridging ETH, the platform drew more than 10,000 participants and raised Ethereum worth over USD 33 million. However, in less than one month, ZKasino transformed from a star project with a Series A valuation of USD 350 million into a suspected fraud platform that may have absconded with funds.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposts, legal consultations, or business exchanges, please add: sswls66 Since its implementation on January 1, 2007, the Anti-Money Laundering Law has been in effect for 18 years. From an international perspective, money laundering activities have become increasingly rampant, with cross-border money laundering occurring more frequently, posing a serious threat to the international financial order and the economic security of various countries. Domestically, with the rapid development of financial markets and continuous technological innovation, the methods and modes of money laundering are constantly updating and evolving. Driven by multiple complex factors,

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66. Recently, news that Binance, the world’s largest cryptocurrency exchange, was fined $4.3 billion by U.S. authorities and that its founder, Changpeng Zhao (also known as CZ), was sentenced to four months’ imprisonment by a U.S. court has sent shockwaves through the crypto community.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 On April 23, 2024, the Draft Revision of the Anti-Money Laundering Law of the People's Republic of China (hereinafter referred to as the "Draft Revision") was submitted for deliberation at the Ninth Session of the Standing Committee of the Fourteenth National People's Congress. This marks the first major revision since the enactment of the Anti-Money Laundering Law in 2007. Yan Lixin, Executive Director of the China Anti-Money Laundering Research Center at Fudan University, stated that the most significant, urgent, and necessary issue to be addressed at the legal level

On May 14, 2024, the Fengtai Police in Beijing issued a notice titled: "Reversal! Complainant Becomes Suspect: Fengtai Police Solve a Case of Organizing and Leading a Pyramid Scheme" . At first glance, this headline appears quite alarming. However, upon reflection, such situations do indeed arise in certain criminal cases. In the criminal cases involving victim complaints and rights protection that Attorney Shao handles in his daily practice, some victims share similar concerns. Some clients have asked me: "Attorney Shao, the police officer called and asked me to come to the police station later to give a statement. Haven't I already done this many times before? Will I be arrested when I go there?" Clients who find themselves in dire straits may not be able to accurately determine whether they are "victims" or "criminal suspects" due to a lack of relevant legal knowledge. 。

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultation, or business exchanges, please add: sswls66 In September 2023, the official Weibo account of Yujiang Public Security announced that, with the assistance of Tencent’s Guardian Plan security team, it had successfully solved the first case in China involving the suspected illegal production and sale of “AI cheats” targeting shooter games such as Valorant. The amount involved exceeded RMB 30 million, and ten criminal suspects were arrested, including two authors of the “cheat” programs and eight agents. On May 6, 2024, in Yujiang District, Yingtan City, Jiangxi Province

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reposting, legal consultation, or business exchanges, please add: sswls66. At 3:00 a.m. (Beijing Time) on June 15, the UEFA Euro 2024 will kick off with great enthusiasm. As a sponsor of the UEFA European Championship, Ant Group has launched numerous promotional activities in connection with the tournament. In the digital collectibles sector, its subsidiary platform “Jingtan” has officially released Euro Cup blind boxes, which have garnered strong market response. So, does the combination of chance-based sports events and NFT digital collectibles entail legal risks related to gambling? Author of this article |

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Although the Criminal Law stipulates which acts constitute which crimes, and relevant judicial interpretations and guidance opinions are continuously being issued to provide further detailed explanations of the provisions of the Criminal Law and its amendments, legal provisions are ultimately principled rather than mechanical. For instance, it is impossible to simply and crudely stipulate that an illegal business operation amounting to RMB 500,000 shall be sentenced to five years, while RMB 600,000 shall be sentenced to six years. Criminal adjudication requires comprehensive consideration of the three characteristics of a crime (social harmfulness, criminal illegality, and punishability).

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. According to legal provisions, acting as an agent for a gambling website and accepting bets constitutes the crime of operating a casino. However, current laws do not clarify whether “accepting bets” is limited to accepting bets from others or also includes acts where the agent places bets on their own behalf. The significance of discussing this issue lies in the following: For example, if an agent wagers RMB 2 million on their own behalf but accepts only RMB 100,000 in bets from others, should the amount of gambling funds used to determine that the agent committed the crime of operating a casino be

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. As an agent for a gambling website, there are three sources of revenue: winnings from one's own gambling; commissions received from the website based on bets placed by subordinate agents or gamblers recruited by the agent; and rake taken from gamblers. If an agent is arrested for the crime of operating a casino, in addition to sentencing, the court will determine and handle the amount of gambling funds and illegal gains to be disgorged. If the court determines that a large amount must be disgorged, this may impose a significant financial burden on the defendant and their family.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. On September 14, at the invitation of the Conflux Chinese Community, Attorney Shao Shiwei of Mankun Law Firm delivered a specialized presentation on preventing legal risks associated with individual investments in blockchain and virtual currency projects. This article is a transcript of the event.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal advice or a legal opinion on any specific matter. For article reposts, legal consultations, or professional exchanges, please add: sswls66. "Disgorgement of illegal gains" is a common component of judgments in criminal cases, aiming to require offenders to return property or benefits obtained through illegal means, thereby restoring the infringed legal order and safeguarding the legitimate rights and interests of victims. However, how should the connotation and extension of "illegal gains" be defined? What are the specific calculation methods? Detailed implementation rules are not explicitly stipulated in the Criminal Law of the People's Republic of China but are scattered across judicial interpretations for specific offenses and relevant case-handling guidelines.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. According to the judicial interpretation on online gambling, if the cumulative amount of gambling funds reaches RMB 300,000 or more, the statutory penalty for the crime of opening a casino is imprisonment of five years or more. Due to the strong anti-investigation awareness and money laundering methods employed by operators of online gambling platforms, platform servers are often located overseas, server data is automatically cleared on a regular basis, electronic evidence is highly susceptible to damage or loss, and gambling funds are settled through third-party payment platforms, underground banks, 'running points' platforms, virtual currencies, etc., making it difficult to accurately determine...

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Introduction: In criminal cases involving cryptocurrencies, the judicial disposal of virtual assets is an unavoidable topic. Recently, reports and developments regarding the disposal of virtual assets involved in cases have emerged one after another. On August 23, 2024, the Supreme People's Court released the "Announcement on Bidding for Major Judicial Research Projects in 2024." On August 29, the Xuhui District People's Procuratorate and the Xuhui District Public Security Bureau jointly signed the "Guidelines for the Disposal of Virtual Currencies Involved in Criminal Proceedings." On September 3,

Special Note: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In the article "Clarifying Concepts | Gambling Funds, Illegal Gains, and Fines in Gambling Criminal Cases," Attorney Shao noted that while the law provides a clear definition of "gambling funds," there are no explicit provisions regarding "illegal gains." According to the judicial interpretation on online gambling, if the amount of illegal gains exceeds RMB 30,000, it shall be deemed as "serious circumstances" for the crime of operating a casino, carrying a statutory sentence of five years or more. In addition, illegal gains

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Introduction: On September 26, 2024, the Shanghai Municipal Public Security Bureau held a press conference to announce details regarding the nation’s first case of illegal fund remittance conducted through the use of internationally accepted gift cards. The business of selling foreign gift cards is widely practiced in China; a simple online search yields numerous introductions to profit models involving gift cards. In our daily practice, we frequently receive inquiries from individuals asking whether the projects they are currently engaged in are

Amidst the policy winter characterized by domestic restrictions on game license approvals, Chinese game developers generally face two paths: expanding overseas or developing premium-quality games. However, creating premium games requires substantial investment and entails a long return-on-investment cycle. Consequently, going global has become a necessary choice for most game publishers. In terms of business models, Web3 blockchain games are one of the types considered by developers expanding overseas.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. “No-inventory cross-border e-commerce: Easily earn over RMB 10,000 per month! Cross-border e-commerce: Small investment, high returns, guaranteed profits with no risk! Born in 1998, achieved financial freedom by doing cross-border e-commerce from home!” During periods of economic downturn, many advertisements and self-media accounts promising ways to make money are prevalent. So, is cross-border e-commerce a good side hustle? According to publicly available data, in 2023, China’s total import and export volume in cross-border e-commerce reached RMB 2.38 trillion, a year-on-year increase of 15.6%. This year,

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. With societal development, users’ social needs have become increasingly diverse. In addition to traditional text- and video-based social interactions, voice chat has emerged as a new form of social interaction, offering users communication experiences distinct from text and video. However, numerous voice chat platforms have been repeatedly implicated in gambling-related allegations, with the most influential case being the “DouYu Platform Gambling Case.” According to statistics, between March 2023 and February 2024,

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. Introduction: Based on cases handled by Attorney Shao in recent years and the numerous consultations received in daily practice, it has been observed that domestic police authorities (particularly in the Hunan region) frequently impose criminal coercive measures on relevant personnel involved in perpetual contract services offered by virtual currency trading platforms, on suspicion of the crime of operating a casino. The relevant personnel include: shareholders, actual controllers, senior executives, business heads of the contract module, technical staff,

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. Although policies such as Announcement No. 94 and Announcement No. 924 classify virtual currency-related businesses as “illegal financial activities,” legal disputes arising from entrusted wealth management involving virtual currencies remain common in practice. As early as 2013, five ministries and commissions explicitly stated that virtual currencies such as Bitcoin do not possess the same legal status as statutory currency. Nevertheless, regulatory provisions have failed to dampen the enthusiasm of investors. Guided by the investment philosophy that “higher risk yields higher returns,”

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. Although my primary practice area is criminal law, I frequently receive inquiries from friends regarding civil legal issues. In reality, the various disciplines of law are closely interconnected, and many case-handling techniques and modes of thinking are common to both criminal and civil practice. Moreover, I have previously handled numerous civil cases. I have always believed that an important quality lawyers should possess is the ability to solve problems and the capacity for rapid learning when confronted with unfamiliar fields.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposts, legal consultations, or business exchanges, please add: sswls66 Introduction: In April this year, the Internal Reference on Guangdong Provincial Conditions, authored by the Guangdong Provincial Conditions Survey and Research Center, circulated widely. The text pointed out that "Internet companies in Guangdong Province are subjected to cross-region profit-driven law enforcement, making their survival unsustainable." Furthermore, an online image stating that "police from other regions must not illegally enter enterprises to handle cases" also sparked heated discussion among netizens. Attorney Shao has observed that the long-criticized issues of "deep-sea fishing" and "profit-driven law enforcement" have recently reignited intense debate within the legal community.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. As a criminal lawyer specializing in the crypto sector, we frequently observe in practice that numerous retail crypto traders and USDT merchants have their bank accounts frozen or become suspects in money laundering-related criminal offenses because they unfortunately receive illicit funds during transactions. How to ensure that one’s bank card is not frozen when selling USDT has become a concern for many. Where there is demand, there is a market; thus, USDT bank cards emerged. Previously, Attorney Shao, in “Mastercard USDT Cards, UnionPay

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. On November 16, 2024, the crypto assets trading platform DEXX was subjected to a hacker attack. Related reports indicate that user assets stolen by hackers exceeded hundreds of millions of US dollars, causing significant losses to many users, while rights-protection groups are rapidly forming. As an emerging crypto assets trading platform operated by Chinese nationals, its rapid rise benefited from extensive promotion by numerous Key Opinion Leaders (KOLs). So, regarding this security incident, what are the legal risks for the platform operator and KOLs?

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. Introduction: On November 20, 2024, official authorities announced that Yao Qian, former Director of the Technology Supervision Department and former Director of the Information Center of the China Securities Regulatory Commission (CSRC), was expelled from the Communist Party of China and dismissed from public office. The announcement stated that Yao Qian, for personal gain, spared no effort to support specific technology service providers, willingly becoming a “key target” for those seeking to corrupt officials, and engaged in power-for-money transactions using virtual currencies, among other means. In recent years, virtual currencies have attracted significant attention due to their anonymity and decentralization,

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In recent years, with the rapid development of blockchain technology, an increasing number of entrepreneurs have turned to the Web3 sector, seeking opportunities in this emerging market. However, for domestic Web3 entrepreneurs, carving out a path for sustainable development amidst the constraints of policy and market environments requires addressing not only issues related to business operations themselves, but also complex legal compliance challenges. This article summarizes the questions Attorney Shao is commonly asked in his daily practice.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In recent years, many legal scholars, experts, attorneys, and judicial personnel have discussed how to handle virtual assets in a legally compliant manner during judicial proceedings. Attorney Shao has previously shared related insights (➡️ "Without a court judgment, public security organs should not dispose of case-related virtual assets!"). Regardless of what disposal procedures public security organs must follow to ensure compliance, in practice, handling units do dispose of virtual assets.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66. In the eyes of many, programmers (coders, engineers) hold lucrative and enviable high-paying positions. However, in the view of criminal defense lawyers, this is also a high-risk profession that easily touches upon legal risks. Attorney Shao has previously represented numerous programmers involved in suspected criminal cases: Company operations suspected of copyright infringement, with programmers implicated as employees; Software companies providing illegal website construction services for clients, with the company’s legal representative suspected of

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. CCTV News recently reported[1] a case in which a woman was defrauded into investing in virtual assets after engaging in an online romance with a man who claimed to work for a classified entity. The individuals involved have been arrested. Author | Attorney Shao Shiwei 0 1 “Virtual Assets + Offline Transactions” — An Upgrade to Version 2.0 of Telecom Fraud Tactics In this case, the method used to defraud the victim was not novel; it resembles the “Pig Butchering” telecom fraud schemes from northern Myanmar that we frequently see in the news.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. On December 5, 2024, the People's Court Daily published the article "Criminal Characterization of Illegally Stealing Virtual Currencies." The case described in the article is not particularly complex; it simply involves Person A stealing Person B's virtual currency (USDT) and selling it for profit. However, the analysis by court personnel in the article regarding this case evokes a chilling sensation, revealing an attitude of: "Although I do not understand blockchain or virtual currencies, I believe you should be heavily sentenced."

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Upon receiving news that a family member has been criminally detained at a certain detention center, relatives or friends are inevitably anxious in the immediate aftermath: What offense led to their arrest? Will they be mistreated while in custody? How long will they be detained? Can they be released on bail (qubao houshen) first? Is hiring a lawyer useful? ... A flood of questions fills their utterly confused minds. There is a saying in criminal cases regarding the "Golden 37 Days," which means that, from the date the party is criminally detained, the 3

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposts, legal consultations, or professional exchanges, please add: sswls66. Residential surveillance is a term that sends chills down the spines of legal professionals, yet it remains unfamiliar to the general public. Imagine this: if you were under investigation by public security organs for suspected criminal offenses, would you choose detention in a detention center or residential surveillance outside? Most people would likely choose residential surveillance. Because when many think of detention centers, they associate them with being handcuffed and shackled, suffering bullying and mistreatment inside, whereas residential surveillance is conducted outside

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects solely the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In recent days, the entire nation has been closely following the incident involving the disappearance of actor Wang Xing near the Thailand–Myanmar border. Wang Xing has finally returned to China, bringing relief to people across the country. The number of Chinese nationals deceived into traveling to northern Myanmar may be far greater than we can imagine. Among them are numerous internet celebrities and influential online personalities with considerable public recognition, such as model Yang Zeqi and Tan Yuxi, a host at Beijing Radio and Television Station. Their families had also been continuously seeking assistance, yet these cases did not attract similarly widespread public attention.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In recent years, with the rapid development of digital payments, virtual credit cards have become an indispensable tool in cross-border payment scenarios such as online shopping and service subscriptions. Virtual credit card platforms providing such services are generally registered overseas and hold relevant qualifications (such as MSB licenses, e-money licenses, or crypto asset-related licenses); however, their technical teams, operational promotion staff, and customer service personnel are often located within mainland China.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. What should you do if your foreign exchange quota for overseas study is insufficient? Is it safe to exchange US dollars through private channels? To circumvent the annual foreign exchange limit of USD 50,000 per person, many individuals seek private exchange methods, such as engaging currency exchange scalpers, underground banks, or overseas exchange companies, to achieve their exchange objectives. So, does private foreign currency exchange carry legal risks? Is it illegal to help friends exchange foreign currency? If so, where lies the boundary of potential legal risks? Author of this article: Shao

The "Crypto Dream" of the BRICS Nations

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Recently, a friend consulted Attorney Shao: he is an employee of an entry-exit services company, primarily responsible for providing consulting services to clients on immigration, studying abroad, overseas planning, and entry-exit services. However, in his daily work, many clients ask him about how to transfer large sums of funds out of the country. In such cases, his boss asks him to connect clients with overseas currency exchange companies. He is somewhat concerned about whether the company’s business involves any relevant legal risks? From

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. On February 9, 2025, the People's Court Daily published a case titled “Investments in Overseas Virtual Currencies Are Not Protected by Chinese Law.” This case is one of the typical cases involving foreign-related commercial trials released by the Jiangsu Provincial Higher People's Court. However, in sharp contrast to this legal warning are the all-too-common myths of sudden wealth in the crypto community. Just a couple of days ago, Attorney Shao heard from a friend that their acquaintance held 100,000 USDT on Binance and had entrusted another person to operate the account.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. He is a father. Due to layoffs at his company, he fell into financial hardship. To support his family, he decided to sell his collection of vinyl records, which he had cherished for many years. However, one day, police officers suddenly arrived at his door, informing him that his conduct was suspected of constituting a crime and that he could face a fixed-term imprisonment of more than five years. Imagine if this person were you or your family member sitting before the screen—could you accept such an outcome? In real life, many people may inadvertently

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. “I indeed organized and planned this project. I want to know how you found the mastermind behind it. Based on my understanding, it should be impossible for you to find me. What did you rely on?” The above details were disclosed by the Xin County Public Security Bureau in handling the “12.04” virtual currency pyramid scheme case. During interrogation, Zhang, the suspect and ringleader of the pyramid scheme, asked the investigating officers this question with great confusion. In his daily practice of handling cases involving black and gray market industries...

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. After a family member is arrested, many relatives, even after consulting with lawyers, often remain confused and lack clarity regarding what is most important for their loved one’s case and which issues should be prioritized. This is understandable, as being criminally detained by public security organs is, for most defendants and their families, a first-time experience in life. When individuals suddenly receive a massive amount of information in an unfamiliar field,

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Recently, I handled a case involving the crime of operating a casino, in which a Chinese national provided fund payment and settlement services for an overseas online gambling platform while abroad. The settled gambling funds amounted to nearly RMB 3 billion. After thorough review of the case file and multiple in-depth communications with the procuratorate, we have successfully secured a sentencing recommendation from the procuratorate for a suspended sentence. Achieving this outcome was truly no easy feat. However, what struck me most during the handling of this case was not the case itself, but rather matters beyond it.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. The crypto circle seems to possess a magical allure; once practitioners step into the world of Web3, they are often unwilling to return to traditional industries. I previously read an article that accurately described the state of Web3 workers: High salaries, remote work, comfort, yet danger. Indeed, compared to traditional industries, Web3-related job positions offer higher salary levels; project teams are generally located overseas, so domestic employees recruited are typically...

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add contact: sswls66. Previously, I handled a case where, at the time I took over, the client had already been approved for arrest by the Procuratorate. However, after several days of intense negotiations with the local public security organs and the Procuratorate, the client was released on bail pending trial. Later, two days before the Procuratorate decided to transfer the case to the court, my client was detained again in the detention center. I once asked the prosecutor with great distress: Whether this case constitutes a crime and whether you have jurisdiction have always been highly controversial,

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Last night I had a dream that I was in court; it felt quite interesting, so I couldn't resist recording it. Special Declaration: This story is purely fictional. Any resemblance is purely coincidental. No one should assume this refers to any specific individual or entity. Author of this article: Attorney Shao Shiwei 1. Case Background One day, while project personnel from a certain virtual currency exchange were conducting an impassioned offline roadshow in a first-tier city in China, a large group of "police officers" suddenly rushed into the venue. Just like that, all members of the project team were "subdued" by the police and detained in a detention center in a fifth-tier city.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or professional exchange, please add: sswls66. In criminal cases, it is often the primary breadwinner of the family who is detained, leaving behind spouses (often mothers) who are unaware of the details of the case, as well as elderly parents. In such moments of panic and helplessness, how can family members promptly find a reliable lawyer for their loved ones? What steps should family members take to better assist the defendant and steer the case in a favorable direction? Just last week, our criminal defense team handled a case in which the client was accused of fraud.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. On May 8, 2025, the Supreme People's Procuratorate and the State Administration of Foreign Exchange jointly released Typical Cases Illustrating the Interface between Administrative Enforcement and Criminal Justice in the Field of Foreign Exchange. One of these cases involves the insurance industry. The brief facts are as follows: During the promotion of insurance business, He Mouwei leveraged his client resources to match and introduce mainland insurance clients and friends who had currency exchange needs, facilitating the two-way exchange of RMB for HKD and USD to pay overseas insurance premiums. Most

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. On May 8, 2025, the Supreme People's Procuratorate and the State Administration of Foreign Exchange jointly released Typical Cases of Coordination between Administrative Enforcement and Criminal Justice in the Field of Foreign Exchange. One of these cases involved the insurance industry. The brief facts are as follows: During the promotion of insurance business, He Mouwei utilized his customer resources to match and introduce mainland insurance clients and friends who had foreign exchange needs, facilitating the two-way conversion of RMB into HKD and USD for the payment of overseas insurance premiums. Most...

The W2140 World AI + Web3 Expo Awaits Your Participation!

Compliance Challenges and Solutions in Web3 Implementation

Can Everything Be Tokenized as Real-World Assets (RWA)?

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66. In criminal cases, many defendants and their families assume that a lawyer’s role is merely to “argue forcefully and speak eloquently.” In reality, in cases where the nature of the offense is clearly defined and the scope for sentencing discretion is limited, effective defense often depends less on outright confrontation with judicial authorities and more on the lawyer’s communication skills. This is particularly true under the current plea leniency system, where the procuratorate’s sentencing recommendations often play a decisive role in the final outcome of the case.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. Since the issuance of the "September 24 Notice" by ten ministries and commissions in 2021, many Web3 project teams have stated their "active response to Chinese regulation by ceasing services in mainland China" and have relocated their project entities overseas. However, as is well known, numerous crypto asset enterprises continue to provide services to users in mainland China. Meanwhile, many developers are considering transitioning from Web2 projects to Web3. Compared to practitioners who have been deeply engaged in Web3 for many years,

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66. In the previous article, “Can Offshore Expansion Evade Chinese Jurisdiction? Compliance Misconceptions That Web3 Entrepreneurs Cannot Ignore,” Attorney Shao noted: One compliance misconception that Web3 entrepreneurs and practitioners often overlook is the belief that merely registering a project overseas and deploying servers abroad achieves “inherent compliance.” However, in practice, the core determinant of compliance always lies in the project’s own business model, capital structure, and operational substance.

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In his article “Can Offshore Incorporation Evade Chinese Jurisdiction? Compliance Misconceptions That Web3 Entrepreneurs Must Not Ignore,” Attorney Shao noted: One compliance misconception that Web3 entrepreneurs and practitioners often overlook is the belief that merely registering a project overseas and deploying servers abroad achieves “inherent compliance.” In reality, the core determinant of compliance always lies in the project’s underlying business model, capital structure, and operational substance, rather than its superficial

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66 On June 20, 2025, the "Web3 Entrepreneur Exclusive Course," hosted by Mankun Law Firm, was successfully held. Shao Shiwei, a senior attorney at Mankun Law Firm, delivered a practical compliance-focused presentation titled "How Can Web3 Entrepreneurs Prevent and Control Legal Risks?" Addressing Web3 practitioners, the session covered four key areas: judicial trends, typical cases, project structure identification, and the establishment of compliance systems. This

(This article was republished by Shanghai Legal Daily | Original Author: Attorney Shao Shiwei) Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on any specific matters. For article republication, legal consultation, or professional exchanges, please add: sswls66. Not long ago, an article written by Attorney Shao, detailing the practical aspects of a real-world case involving the crime of illegal business operations that he previously handled, was republished by Shanghai Legal Daily on June 23, 2025. The article provides an in-depth analysis of the controversial issues concerning "criminality versus non-criminality" in the case and presents compelling defense arguments to the handling authorities based on the objective circumstances of the case.

Advantages and Disadvantages of Four Methods for Determining the Amount: Bet Amount, Winnings, Initial Deposit, and Settlement Amount. This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. According to legal provisions, organizing gambling involving three or more persons, where the cumulative amount of gambling funds reaches RMB 50,000 or more, constitutes the crime of gambling; in cases of opening a casino, where the cumulative amount of gambling funds reaches RMB 300,000 or more, it constitutes the circumstance of "serious circumstances" for the crime of opening a casino (punishable by fixed-term imprisonment of 5 to 10 years). For online gambling activities, due to the absence of temporal and spatial constraints, they can be conducted on a larger scale within a shorter time...

How high are the amounts subject to confiscation and fines in gambling-related cases?

Navigating the Complexities of Establishment

Defense Strategy: Serious Circumstances + Accessory Offender = Sentence of Less Than Five Years

Mainstream Sectors Thriving with Diverse Developments

Compliance Challenges and Solutions for Web3 Implementation

Does soliciting foreign gamblers for overseas websites constitute a criminal offense?

Satoshi Nakamoto Would Certainly Appreciate DePIN

Explaining the Law Through a Case: A Crime of Opening a Casino That Underwent Three Trials

Is cashing out in Hong Kong safe?

Civilization in a Packet of Salt

Stablecoins Enter the Era of Regulation

With a 100% profit, people will disregard all laws; with a 300% profit, they will fear no crime, not even the danger of hanging.

Are you familiar with the “four elements” constituting the crime of illegally absorbing public deposits?

Legitimate Wealth Creation (Benefits at the End of the Article)

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66. These doubts actually reflect legal cognitive blind spots that are widespread among Web3 practitioners. Through this case, this article systematically analyzes the three major legal risks currently facing Web3 technical roles and provides practical recommendations. Legal Risk Blind Spot 1: Are Technical Roles Also at Risk? Many technical professionals believe, "I simply deliver code as required; how it is used is the client's concern." The logic behind this statement actually reflects a misunderstanding of "

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. In recent years, calls to oppose “long-arm policing” and “profit-driven law enforcement” have grown increasingly loud. However, such deep-rooted issues do not arise overnight. From a practical perspective, there are multifaceted reasons for these phenomena. For instance, fiscal pressures in certain regions have led investigators to “seek revenue sources,” pursuing cases that generate economic benefits, thereby engaging in “profit-driven law enforcement.” Another significant reason is that China’s provisions on criminal jurisdiction are overly broad,

The choice among a not-guilty defense, a defense for a lesser punishment, or a defense for a lesser charge must be determined through case-specific analysis based on the particular facts of each case.

Key Considerations for Implementation

The legal risks associated with virtual currency trading are increasing.

New Trends in Web3 Job Hunting

The Supreme People’s Procuratorate and the State Administration of Foreign Exchange jointly released typical cases involving the interface between administrative enforcement and criminal justice in the foreign exchange sector

The Real Dilemmas Faced by Ordinary People Selling Hong Kong Insurance

“The purpose of handling cases is to seize money.”—As stated by the director of a local police station in a certain case

Compliance in Web3 should start from the very beginning.

The Crime of Illegally Utilizing Information Networks: The 'Catch-All' Charge for Criminal Legal Risks in the Crypto Circle

Consumption or Investment?

The Crime of Illegally Utilizing Information Networks: The 'Catch-All' Charge for Criminal Legal Risks in the Crypto Circle

Legitimate Revenue Generation (Benefits at the End of the Article)

On October 3, 2024, the Securities and Futures Commission (SFC) of Hong Kong updated its list of licensed virtual asset trading platforms on its official website, announcing HKVAX as the latest licensed exchange. This marks the third virtual currency exchange recognized by Hong Kong regulators, following OSL Exchange and HashKey Exchange. According to reports from Ming Pao, a prominent Hong Kong news media outlet, HKVAX already holds Type 1 (Dealing in Securities) and Type 7 (Providing Automated Trading Services) licenses issued by the SFC, offering OTC brokerage services, virtual currency trading, and comprehensive virtual asset custody services to virtual currency investors in Hong Kong. This may raise a question for some: I also want to operate in Hong Kong...

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. When it comes to the crime of aiding information network criminal activities (hereinafter referred to as the "Crime of Aiding"), many people may be familiar with it. Since the Supreme People's Court and the Supreme People's Procuratorate issued judicial interpretations in 2019 clarifying the criteria for filing cases involving the Crime of Aiding, and given the nationwide "Card Cutting" campaign launched in 2020, the large-scale application of the Crime of Aiding has made it widely known. However, Article 287 of the Criminal Law actually stipulates two charges: one is the Crime of Aiding, and the other is the crime of illegally using information networks (

Dubai Ranks First

Earn rebates by referring others? This practice carries risks.

The First Step in Expanding to Dubai

Essential Reading for Beginners

Using the tokenization of revenue rights from new energy charging stations and cross-border financing under Hong Kong’s Ensemble project as scenarios, this article analyzes that real-world assets (RWA) involve more than merely placing assets on-chain. Whether a token constitutes a security, licensing requirements for issuance and intermediaries, repatriation of cross-border funds, mainland China and Hong Kong data compliance, taxation, contractual rights, and dispute resolution may all determine whether a project can be successfully implemented. Readers should prioritize verifying the ownership of underlying assets and revenue rights, token entitlements and investor scope, fund flows, data flows, as well as contractual arrangements and applicable law among the parties.

One carries a maximum sentence of life imprisonment, while the other carries a maximum sentence of seven years.

China has integrated blockchain into various sectors of society.

Speaking Some Plain Truths

Are prediction markets casinos?

Building a Sustainable Supply Chain for Rare Earth Elements

Profiting from price differences = illegal business operations? This is absurd!

Tether (USDT), which has become an “community of interest” with U.S. Treasury bonds, has ambitious aspirations.

Analysis of Legal Issues Surrounding Web3 "Football Betting"

Is it safe to earn and spend income entirely overseas?

What are the key points for criminal defense when investigated by public security organs for private foreign exchange transactions?

Azhu, stop now; the police are everywhere outside.

Compliant projects still have significant market potential

Theft cases involving virtual assets

Clear and Proactive Advancement in Crypto Regulation

Does acquiring bank cards from others independently constitute a criminal offense?

The Dazzling Array of Web3 Recruitment Opportunities

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or business exchanges, please add: sswls66. Based on the legal consultations received by Attorney Shao in recent years from newcomers to the crypto circle or new entrants to the workforce, they often have complex feelings regarding job opportunities in the Web3 industry. How can these feelings be described? Fear, dread, expectation, longing, helplessness, confusion... In short, there are all kinds of emotions. They seem to vaguely feel that the business activities of their company might not be permitted by the state? But then again, their supervisors have stated that what they are doing is legal and compliant, so they...

On the afternoon of May 16, the “RWA Practice Guide: Opportunities and Challenges” series of events under the Shanghai-Hong Kong Web3.0 Innovation Center, co-hosted by Wanxiang Blockchain Labs and Qianji Technology and organized by the Web3 Entrepreneurs Club, was successfully held in Jing’an, Shanghai. The event brought together traditional financial institutions, high-quality asset originators, and on-chain protocol developers. Wang Lei, Partner at Mankun Law Firm, was invited to attend to jointly discuss the development trends, compliance challenges, and practical implementation of real-world assets (RWA), promote resource sharing and cross-sector collaboration, and support the healthy development of the RWA ecosystem.

If you were to say in the past two years that the U.S. Securities and Exchange Commission (SEC) had a good relationship with the crypto industry, it would be akin to saying that a tiger believes in Buddhism and eats vegetarian food. For the most part, the SEC’s stance has been either “do not proceed” or “if you dare to proceed, I will dare to sue.” However, the tone now appears to be shifting. On May 12, Paul S. Atkins, Chair of the U.S. Securities and Exchange Commission (SEC), delivered a highly substantive speech at the “Crypto Assets Roundtable.” At first glance, it appeared to be an industry dialogue, but in reality, it constituted a systematic reflection on the SEC’s crypto regulatory model over the past few years. More importantly, he spent nearly an hour reiterating the regulatory logic governing “on-chain securities.” If summarized in one sentence

This article is an original work by Lawyer Shao Shiwei. It reflects solely the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or business exchanges, please add: sswls66. This article was inspired by a recent criminal case handled by Lawyer Shao involving an introducer in a currency exchange transaction. However, to protect privacy, no specific details of the pending case will be disclosed. The purpose is merely to provide general legal education, hoping that more individuals will understand such scams and take preventive measures to avoid potential criminal liability.

Recently, the trend of real-world assets (RWA) (tokenization of real-world assets) has swept through mainland China’s social media with unusual intensity. From the blockchain community to the financial sector, and from self-media channels to investment groups, RWA has seemingly become synonymous with financial freedom overnight. Various “RWA project sponsors,” “full-service providers,” and “mentors” have sprung up like mushrooms after rain, each solemnly asserting that RWA is the next big opportunity and that missing out would lead to lifelong regret. However, the more vibrant this circle appears, the more chaotic and murky it becomes, with scammers preying on retail investors, speculators trading worthless assets, and anxiety peddlers all mingling together. I feel compelled to pour cold water on this hype—the current state of this circle is nothing but a boiling pot of filth.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposting, legal consultation, or business exchanges, please add: sswls66. Hong Kong, this world-renowned free port and international financial center, saw its crypto-economic ecosystem flourish long before the introduction of official preferential policies. Among these, virtual asset over-the-counter trading service providers (VAOTC), operating through offline stores and online groups, together with native and overseas virtual asset trading service providers (VATP), provide investors with token exchange and fiat-to-crypto on/off-ramp services, forming a unique market landscape. However

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reposts, legal consultations, or business exchanges, please add: sswls66. Based on work over the past six months, Attorney Shao has a profound observation: Cases where individuals are convicted of illegal business operations due to trading virtual currencies are increasing. Since late 2023, when various state media outlets successively published typical cases of illegal business operations related to virtual currency trading, judicial authorities across different regions appear to have continuously intensified their crackdowns on such transactions in practice. However, many parties still do not understand why trading USDT virtual...

The development of overseas Web3 games also faces obstacles arising from various complex circumstances. According to Footprint Analytics’ July report on Web3 games, there were a total of 3,362 Web3 games in July, with only about one-third remaining active. Among these, only 289 games attracted more than 1,000 monthly active on-chain users (MAU). This has sparked market discussions regarding the sustainable development of Web3 games. Active users are the foundation of sustained revenue for Web3 games; therefore, in addition to generating revenue by directly selling in-game items through primary markets, project teams employ various methods to enhance the sustainability of their revenue, such as

From September 2023 to August 2024, the exchange rate between the Turkish lira and the US dollar fluctuated with a decline of 22%. For a Turkish individual sensitive to arbitrage opportunities, holding liras is undoubtedly a losing proposition, and they will certainly not miss any opportunity to convert their liras into US dollars or other assets less prone to depreciation as early as possible. A 2023 report by KuCoin stated that over 50% of Turks invest in cryptocurrencies. Faced with such an overwhelming situation, Turkish authorities have had no choice but to embrace cryptocurrencies. Although it does not explicitly mention the rapid depreciation of the fiat lira, its "Amendment to the Capital Markets Law" (Adopted Bill on Amendments to the Capital Markets Law) reveals a sense of resignation throughout: "Although the high volatility of crypto asset price trends has made people more aware of the risks associated with these assets, households are increasingly interested in these assets, which differ significantly from assets in the current financial system. Particularly during the global pandemic, global individual attention to this sector increased, and the use of crypto asset platforms by individuals with a higher risk tolerance became very common. It is understood that in Turkey, approximately 10 million people have opened accounts and conducted transactions on crypto asset platforms. Therefore, consistent with international examples,

A few days ago, two seasoned practitioners with years of experience in China’s NFT digital collectibles industry visited Mankun Law Firm for discussions. They shared various remarkable experiences from their past two to three years in the industry and addressed many concerns raised by platform operators and entrepreneurs. Many of these topics reflect the confusion faced by those seeking to launch ventures in the NFT space amid the current regulatory landscape. With the aim of promoting positive industry development, and subject to appropriate anonymization, Mankun Law Firm has transcribed the discussions between Attorney Liu Honglin and the two guests into this article, hoping to provide some insights or inspiration for entrepreneurs in related fields.

As a financial hub in Asia, Hong Kong has consistently been at the forefront of global regulation in the virtual currency market. For instance, the new Virtual Asset Trading Platform (VATP) licensing regime implemented on June 1, 2023, the recently released consultation paper on the regulation of stablecoin issuance, and the list of sandbox applicants all mark significant steps forward in Hong Kong’s regulation of virtual currencies. These measures aim to enhance overall market integrity and stability by improving investor protection and market transparency, while also providing clear regulatory guidance for crypto projects operating in Hong Kong, thereby attracting attention from global investors and crypto enterprises. Mankun lawyers are frequently asked in consultations,

Against the backdrop of the evolving virtual asset landscape, it is crucial for industry participants to understand relevant terminology and regulatory frameworks. In Hong Kong, two key terms frequently arise in this context—“Virtual Asset Service Provider” (VASP) and “Virtual Asset Trading Platform” (VATP). Although these terms are related, they are not identical. VASP is a broad concept that encompasses various entities engaged in virtual asset activities, whereas VATP

It depends on multiple factors, including regulatory developments, market education, and technological advancements.

Case Analysis

With the vigorous development of global Web3.0 technology, an increasing number of Chinese entrepreneurs are choosing to expand overseas, particularly opting for Hong Kong and Singapore due to their favorable policies and stable environments. Hong Kong and Singapore have adopted positive attitudes and transparent regulations in the Web3.0 sector, providing significant convenience and support to entrepreneurs. In Hong Kong, well-known Web3.0 companies such as Animoca Brands and HashKey have achieved remarkable success globally through continuous innovation and expansion. Meanwhile, Singapore has attracted industry giants like Binance and Crypto.com, becoming a hotspot for blockchain and cryptocurrency startups thanks to its robust legal framework and preferential tax policies.

Have you fallen victim?

Advantages, Requirements, Process, Costs

Seizure and Custody of Virtual Currencies Involved in Cases

The decentralization of Web3 technology does not imply that developers and companies are also decentralized.

Any company wishing to conduct virtual asset activities in Dubai (excluding the DIFC) or from Dubai must obtain a VASP license before commencing operations.

Worldcoin Successfully Resolves Compliance Challenges Within Just One Month

Virtual currency mining is not a scourge.

A Guide for Web3 Knowledge Payment Practitioners to Avoid Pitfalls

Participants in the crypto market should select the most suitable jurisdictions for their layout and development based on their own needs and objectives.

A Guide for Web3 Entrepreneurs to Avoid Being Exploited

The fleeting thrill of paying wages in USDT

Choosing a reliable exchange is crucial.

Essential knowledge for crypto projects expanding overseas!

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Professional answers from Attorney Shao Shiwei.

Special Declaration: This article is an original work by Attorney Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Professional answers from Attorney Shao Shiwei.

This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Professional answers from Attorney Shao Shiwei.

A Painful Area of Practice

When the buying and selling of friend links is exploited by black and gray market industries

Essential knowledge for participants in the crypto community.

If your bank card is frozen because you received illicit funds while purchasing USDT, will returning the funds lead to unfreezing?

Windfall Profits or Devastating Blows?

While Hong Kong and Singapore are attractive destinations, Japan is also a viable option.

Is crypto media a good business?

Special Disclaimer: This article is an original work by Attorney Shao Shiwei. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For article reprints, legal consultations, or professional exchanges, please add: sswls66. Introduction Due to the traffic advantages held by major cryptocurrency influencers and key opinion leaders (KOLs), many virtual currency exchanges choose to collaborate with such individuals, engaging them as copy-trading leaders to guide novice users in executing follow-on trades. These copy-trading leaders receive commission rebates from the platform. As is well known, virtual currency-related activities are characterized as illegal financial activities in China. Therefore, regarding the aforementioned business cooperation model, do copy-trading leaders face relevant legal risks?

Different freezing scenarios require different explanatory approaches.

Can international U cards fundamentally resolve the issue of frozen bank cards?

Reflections on 'Paths to Resolve the Impasse' of Frozen Bank Cards from Selling USDT

Losses from Virtual Currency Mining: Beware of Allegations of “Fraud”

Safety Guide for Offline Web3 Events

Why Are Virtual Currency Transactions Frequently Subject to Fraud?

Legal risks associated with group administrators providing escrow services in virtual currency transactions

Token Issuance: More Options Available

The cryptocurrency circle is small; do not engage in misconduct.

Special Disclaimer: This article is an original work by Mankun Law Firm. It represents solely the personal views of the author and does not constitute legal consultation or legal advice on any specific matter. For permission to reprint this article, please contact Mankun Law Firm personnel at: MankunLawFirm 0 1 What Are Bitcoin Inscriptions? “The Times, January 3, 2009: Chancellor on brink of second bailout for banks.” This is a message recorded by Bitcoin’s founder, Satoshi Nakamoto, in the genesis block of the Bitcoin network. That day was January 9, 2019 [sic]. This inscription witnessed the birth of Bitcoin and also recorded a satire on the financial crisis. Hoping to bring more information

Prepare for the worst to ensure the best cooperation

Generating Revenue Lawfully

How can virtual currencies involved in cases be liquidated?

Online platforms are unreliable.

Special Disclaimer: This article is an original work of Mankun Law Firm. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters.

Special Disclaimer: This article is an original work of Mankun Law Firm. It reflects solely the personal views of the author and does not constitute legal consultation or legal advice on any specific matter.

Special Disclaimer: This article is an original work by Mankun Law Firm. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters.

After having over one million RMB frozen in their bank account due to selling USDT, the account holder’s repeated appeals yielded no results. Upon intervention by Mankun lawyers, the account was successfully unfrozen.

Special Disclaimer: This article is an original work by Mankun Law Firm. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For permission to reprint, please contact Mankun Law Firm staff at: MankunLawFirm. Recently, Mankun lawyers received a client inquiry. The client had registered a company overseas whose primary business was selling prepaid cards from around the world, with payments accepted in virtual assets. Many of the buyers were Chinese nationals. The client sought to understand whether his business posed any legal risks.

Preface: This article provides legal argumentation and analysis only. The author’s conclusions do not constitute encouragement or support for any actions by readers. Readers must independently assess actual legal risks and bear responsibility for their own conduct. In September of this year, a post on Weibo claimed that a programmer was deemed to have committed illegal acts by public security authorities in Chengde because he wrote code for overseas companies on the overseas internet platform GitHub and used overseas software such as Zoom for work by “circumventing the Great Firewall.” His “illegal gains” of more than RMB 1 million were confiscated. (Image source: Internet) This incident attracted significant attention, particularly within the technology sector and among tech entrepreneurs. As a legal practitioner, Attorney Liu

Are your virtual currencies truly secure?

It is acceptable to cater to fans, but do not spoil them.

Will game licenses be issued to blockchain games?

Special Declaration: This article is an original work by Lawyer Shao Shiwei. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters. For article reprints, legal consultations, or professional exchanges, please add WeChat contact: sswls66. Preface: Under China’s current policy and regulatory environment, entrepreneurs in the blockchain gaming sector must, from a compliance perspective, take care to avoid risks related to gambling. At a press conference held by the Supreme People’s Procuratorate on November 29, 2021, it was explicitly stated that “a significant characteristic of application software suspected of involving gambling is the presence of relevant cash-out functions.” The basic model of blockchain games, “play to earn” (playing while earning), is

Special Declaration: This article is an original work of Mankun Law Firm. It represents only the personal views of the author and does not constitute legal consultation or legal advice on specific matters.

Special Disclaimer: This article is an original work by Mankun Law Firm. It reflects only the personal views of the author and does not constitute legal consultation or legal advice on any specific matter.

When resources are scarce, one seeks change; beware of fraud.

Special Disclaimer: This article is an original work by Mankun Law Firm. It represents solely the personal views of the author and does not constitute legal consultation or legal advice on any specific matter.

Those who frequently walk by the river are bound to get their shoes wet.

Surf Web3.0 with Mankun Law Firm!

Includes three cases of non-prosecution

Romance Hurts; So Does Losing USDT

How Can My USDT Be Saved?

It is permissible to operate such schemes, but fraud must be avoided.

ICO (Initial Coin Offering), or initial token offering, originally derived from the concept of an initial public offering (IPO) in the stock market. Unlike an IPO, an ICO involves the issuance of tokens rather than shares and pertains to blockchain projects. In simple terms, an initial token offering is similar to subscribing for new shares: investors use mainstream cryptocurrencies (such as Bitcoin) to purchase newly issued tokens and then engage in investment and trading activities.