Sun Yuchen, the post-90s money circle boss who photographed Buffett's lunch, suddenly rushed to the microblog hot search on the afternoon of the 10th.
The verge, an American science and technology media website, revealed that according to the disclosure of a number of former employees of sun Yuchen and the data on the chain, sun Yuchen organized a market making team during the wave field, suspected of insider trading and avoided the ic0 ban; During BitTorrent, he made KYC tools almost without review to expand user transaction participation; While in poloniex, he organized a team to collect the small amount of assets lost by users in the transaction on the trading platform and take them as his own, and was suspected of fraud, money laundering through immigration or evading legal sanctions.
The verge said that informed sources involved in the disclosure said that at present, the IRS and FBI have been involved in the investigation.
Sun Yuchen responded that there were many basic factual errors in verge's disclosure. "I'm Grenada's ambassador extraordinary and plenipotentiary to the WTO. I don't live in the United States. I'm not an American. I don't have a U.S. green card, so I don't involve any U.S. tax issues and can't be investigated by the so-called IRS." Sun Yuchen said.
there is a rumor that sun Yuchen was investigated by the FBI
The verge, an American science and technology media website, revealed that according to the disclosure of a number of former employees of sun Yuchen and the data on the chain, sun Yuchen organized a market making team during the wave field, suspected of insider trading and avoided the ic0 ban; During BitTorrent, he made KYC tools almost without review to expand user transaction participation; While in poloniex, he organized a team to collect the small amount of assets lost by users in the transaction on the trading platform and take them as his own, and was suspected of fraud, money laundering through immigration or evading legal sanctions.
The verge said that at present, the IRS and the FBI have been involved in the investigation.
According to public information, sun Yuchen graduated from the University of Pennsylvania, the founder of wave field Tron, the founder and CEO of mobile social application app, and the founder and CEO of Ruibo In 2014, sun Yuchen served as the chief representative of ripple labs Greater China and was one of the earliest preachers of the blockchain concept in China. Later, it was founded as the blockchain project "wave field Tron".
He was widely concerned by netizens for photographing Buffett's lunch at a high price of $4.56 million. Later, he announced that he would cancel his lunch meeting with Buffett due to a sudden kidney stone.
sun Yuchen responded that there was no US green card
According to Caishi media, sun Yuchen responded that there were many basic factual errors in verge's disclosure. "I'm Grenada's ambassador extraordinary and plenipotentiary to the WTO. I don't live in the United States. I'm not an American. I don't have a U.S. green card, so I don't involve any U.S. tax issues and can't be investigated by the so-called IRS." Sun Yuchen said.
Sun Yuchen said that he had not received any inquiries from law enforcement agencies, and the law enforcement information of the United States was made public by law enforcement agencies and would not entrust the verge to publish. Sun Yuchen said that the report was released by competitors to spread rumors and influence the company.
Subsequently, sun Yuchen sent a message on his twitter account to respond to the news that his suspected insider trading was investigated by the IRS and the FBI.
Sun Yuchen said that poloniex has always enjoyed a good reputation as a Safu exchange. For the alleged insider trading, sun Yuchen said: "this is a complete lie of verge and reporters and a blatant slander on poloniex's operation."
In response, he said that he has been working hard with regulators and investing in the most advanced KYC facilities that meet industry standards. "In fact, poloniex is not registered in Seychelles. The exchange does not operate in the United States and does not serve U.S. customers." At the same time, he mentioned that as the WTO ambassador to Grenada, he tried to adhere to the highest standards in public and industrial activities.
Sun Yuchen said that he would reserve the right to take legal remedies for the false information brought by any entity, and had hired harder LLP as legal counsel.
crypto asset money laundering risk highlights
The potential money laundering risk in the transaction of encrypted assets is being paid more and more attention. The South Korean Financial Supervision Authority recently said it would strengthen the verification of IPOs of emerging market enterprises such as NFT and metauniverse. The US Treasury Department also issued a report specifically suggesting that NFT may bring new risks, especially in money laundering and terrorist financing.
The US Treasury Department recently released the Research Report on money laundering and terrorist financing through art transactions, which classifies NFT (non homogeneous token) as an emerging online art market and points out that this market may bring new risks. The report defines NFT as a digital unit or token on the underlying blockchain, representing the ownership of images, video, audio files and other media, or the ownership of physical assets and digital property. The report points out that NFT can be used for self money laundering. Create and sell NFT funds on the blockchain; Then, the NFT will be sold to an unwitting individual, and the criminal will profit from the latter's clean funds unrelated to the crime.
The report points out that NFT digital art may also conduct point-to-point transactions without intermediaries, and these transactions may not be recorded in the public ledger. These digital artworks are inherently easier to trade than traditional artworks; In most cases, the participants do not need to actually move the artwork or pay for transportation services, such as insurance, transportation costs or tariffs; Digital art can be transferred through the Internet without worrying about geographical distance and cross-border. "This makes digital art easy to be used by criminals seeking money laundering, because the transfer of its value will not lead to the investigation of financial supervision or physical transportation management." The report said.
Blockchain analysis company chainalysis also pointed out in a recent report that wash trading in NFT market deserves attention.
Wash and sell transaction refers to that investors sell and buy the same financial instruments at the same time, so as to mislead the value and liquidity of the product in the market and artificially create false prosperity of the transaction. "NFT's wash and sell transaction is that the seller sells an NFT to a new wallet controlled by the original owner, making it more valuable." Chainalysis pointed out that historically, wash and sell trading has been a means for cryptocurrency exchanges to try to make the trading volume look larger than it actually is.
Xiao SA, a partner of Beijing Dacheng Law Firm, believes that at present, the use of virtual currency for money laundering is more universal and practical. For some relatively small amounts of stolen money, using virtual currency for money laundering or evading supervision is a more effective choice. The use of NFT for money laundering is much more difficult and complex, but the stolen money behind it is more hidden and the interests involved are more huge.
"Virtual money laundering is like conspiracy, while NFT and art money laundering are more like conspiracy. In the process of money laundering using art, the holders of stolen money can fully participate in the whole process as their real identity. Anonymity seems dispensable to them, which echoes the characteristics of NFT's anonymity." Xiao SA said.
