A Chinese court ruled that BKEX’s contract trading was illegal gambling, sentencing employees to prison.
China Cracks Down on Crypto Gambling at BKEX
A Chinese court has convicted several BKEX employees for facilitating illegal gambling through the exchange’s contract trading platform.
BKEX Found Guilty of Running Gambling Operations
The People’s Court of Pingjiang County ruled that the company’s contract transactions, which allowed users to bet with leverage up to 1,000x, violated gambling laws.
Key Executives and Employees Sentenced
Eight individuals faced criminal charges, with prison sentences ranging from suspended terms to over two years. Fines and asset seizures totaled hundreds of thousands of dollars.
BKEX’s Rapid Growth Before Crackdown
Before authorities intervened, BKEX had amassed 270,000 users and generated over 54.7 million USDT in profit through leveraged crypto contract trading.
China’s Ongoing Crypto Crackdown
China has consistently tightened regulations, banning ICOs in 2017, exchanges in 2017, and crypto trading and mining in 2021. The BKEX ruling reinforces the government’s strict stance on crypto activities.
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