According to the Chinese Economic Network, as reported by Foresight News, since China strictly prohibited virtual currency trading in 2021, how to handle virtual currencies involved in cases has become a major challenge. The Legal Affairs Division of the Beijing Public Security Bureau, in cooperation with the Beijing Equity Exchange, has established a mechanism for disposing of virtual currencies involved in cases. The main process is: public security organs entrust the physical virtual currencies to the Beijing Equity Exchange for disposal. The exchange selects professional service institutions to conduct detection, reception, and transfer of the virtual currencies, and then sells them publicly through a compliant licensed exchange in Hong Kong. The proceeds are converted and transferred to a special account for case-related funds, and subsequently confiscated and turned over to the national treasury or returned to victims in accordance with the law.
According to the process design, multi-departmental collaboration established through agreements can ensure orderly completion of transfer, pricing, trading, settlement, and account entry of virtual currencies. After multiple verifications, all preparatory work has been completed. On March 29, the Legal Affairs Division guided the Shunyi Branch to sign a "Virtual Currency Disposal Business Agreement" with the Beijing Equity Exchange.
