China police detain two suspects in $4,200 virtual-currency investment scam

  • Linwu County police detained two suspects in a virtual-currency investment fraud case.
  • The victim lost approximately 30,000 yuan after buying USDT and a manipulated token.
  • Li was arrested Aug. 19; Lei was detained Sept. 17 over suspected illicit-fund collection.

Police in Linwu County, Hunan province, detained two suspects over a virtual-currency investment scam that caused a victim to lose approximately 30,000 yuan. The suspects allegedly used social platforms and pig-butchering tactics, promising guaranteed profits before directing the victim to download an application, buy USDT and exchange it for a manipulated token controlled by upstream operators. The token’s price was artificially inflated to create the appearance of gains, after which the suspects prompted further deposits and dumped the asset, reducing its value to zero. Li was arrested on Aug. 19, while Lei, suspected of collecting illicit funds, was detained on Sept. 17. The investigation remains ongoing.

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China police detain two suspects in $4,200 virtual-currency investment scam - CoinPost Terminal