A total of over 930,000 yuan was confiscated, and Beijing handled its first case of assisting pyramid schemes using blockchain and virtual currency

Odaily reports: The Market Supervision Administration of Haidian District, Beijing, has handled the city's first illegal case of using blockchain and virtual currency technology to provide assistance to pyramid scheme activities. A technology company was fined and had assets confiscated totaling more than 930,000 yuan. The company involved was an outsourcing service provider for a certain public chain, offering support including operations, marketing services, promotional publicity, exchange coordination, and maintenance. This public chain launched the "Atomic Plan" and "Hathaway Plan," which centered on rebates for recruiting new members, used the number of recruited personnel as the basis for rebates, and required participants to invest funds to obtain joining eligibility. The company involved, despite knowing or being expected to know that this public chain had pyramid scheme applications, continued to provide services such as technical operations and maintenance, external publicity, and maintenance of virtual currency trading channels.