Two former top executives of the Bank of Huludao in China orchestrated an embezzlement and money laundering scheme involving 1.8 billion yuan ($248 million) using cryptocurrency.

The scheme, revealed through investigations and court documents, involved converting embezzled funds into foreign currency and funneling them into controlled accounts in Hong Kong.

The funds were then invested in cryptocurrencies via platforms like WeChat and trading groups such as “Longmen Inn” and sold abroad, camouflaging their illicit activities.

One accomplice, named Chen, has been sentenced to over two years in prison and fined.

This case highlights the ongoing vulnerabilities within financial institutions and the use of digital currencies to exploit regulatory ambiguities, amidst China's intensified crackdown on cryptocurrency-related crimes.