China Records First Case of Money Laundering via CBDC

The pioneer of central bank digital currency, China recorded its first case of money laundering via the electronic yuan.

Officials arrested 11 members of a criminal group in the Fujian province last week for allegedly laundering money using the country’s central bank digital currency (CBDC), according to Chinese media reports.

The group allegedly scammed an individual after making false claims of ordering an item with quality issues.

The victim was instructed to transfer more than 200,00 yuan ($31,000) to multiple accounts provided by the suspects.

China is widely considered a CBDC pioneer after starting research into the field as early as 2014 and recently rolling out the digital yuan for public use via pilot programs.

Although there is still no official launch date, many onlookers expect a full introduction in February 2022 in time for the Beijing Winter Olympics.