- Feixiaohao, a crypto market news and data provider is under investigation for allegedly defying the ban.
- The company’s top executives have been detained in Inner Mongolia amid an ongoing investigation.
- Back-to-back crackdowns on crypto in China indicate the government’s hard stance on cryptocurrencies.
Despite restrictions over cryptocurrencies and affiliated activities in China, there has been a surge in the number of digital asset-associated offenses in the region. Before the ban, the nation was one of the most picked locations by crypto miners.
According to recent information, the regional police of China has launched an investigation into Feixiaohao, a crypto market news and data provider based in the region.
Colin Wu, a well-known journalist, disclosed that several top executives from Feixiaohao, a Chinese crypto company, have been detained in Inner Mongolia, a northern independent region of China, amid an ongoing investigation.
Market experts argue that the investigation into Feixiaohao arises from the company’s alleged failure to comply with China’s 2021 prohibition on cryptocurrency activities.
The firm may have triggered the authorities’ scrutiny by continuing to operate despite the ban, resulting in the current investigation and arrests of key executives.
As per the official website, Feixiaohao debuted in the crypto market in 2017; the available information also quotes the data provider as one of the earliest blockchain data information platforms in the blockchain industry.
Some available data states that from May 2024 to July 2024, the Feixiaohao website’s total visitors were 505,828 worldwide. However, the reported monthly visitors are 168,609 (from May 2024- July 2024), including 67,560 unique visitors monthly.
China’s Latest Crypto-Related Cases
On August 26, 2024, a Singaporean court imprisoned Yang Bin over charges related to crypto fraud and others. In 2001, Forbes tilted Bin as the second richest businessman in China then.
The court ordered the tycoon to settle a fine of $12,200, with an imprisonment of six years in jail. He allegedly founded A$A Blockchain Innovation in 2021, the firm involved in suspected crypto activities.
Earlier on August 23, Todayq reported that Chinese authorities had successfully deported the founder of MBI Group from Thailand. The company was involved in a cryptocurrency pyramid scheme affecting over 10M people and involving over $13B in damages.
The law enforcement authorities of China detained two suspects, Zhai and Li, in Zhengzhou City & Henan Province on July 24, 2024. The following day, two other suspects were detained. All four suspects are now in custody, facing fraud charges as the investigation continues.
Market Price Update
At the time of writing, the cryptocurrency market capitalization was $2.04 Trillion, after a fall of 2.68% in the past seven days. The current market cap is below 20, 50, 100, and 200-days EMA (exponential moving average).
Bitcoin prices have been tumbling between the range of $58k to $62k; at the time of writing, it was trading at $59,400. BTC lost 10.10% in the past 30 days and fell -11.96% in a quarter.
Floki (FLOKI), a leading memecoin, continued to bleed, losing over 19% of its trading price in the past 24 hours, reaching $0.0001259. Until publishing, its market capitalization has been over 20% in losses compared to the previous day.
No significant movement has been observed in the broader market, as the fear and greed index powered by CoinMarketCap is at 46, reflecting neutrality.
