Feeds

Chinese cops cuff Hong Kong Bitcoin scammers

GBL three suspected of making off with MILLIONS

Secure remote control for conventional and virtual desktops

Chinese police have nabbed three people suspected of running Bitcoin exchange GBL, which closed down abruptly in October taking with it over 25 million yuan (£2.5m, $US4.1m) of investors’ money.

The three were arrested all over the country, in Guizhou province, Anhui province and Shenzhen city, according to Xinhua.

They are a 29-year-old suspect surnamed Liu, a 24-year-old man surnamed Jin, and a 33-year-old surnamed Huang.

They are thought to have set up the trading platform back in May, claiming to be based in Hong Kong to add more legitimacy to the scam.

Although warnings about GBL appeared on Bitcoin forums soon after, the money kept on rolling in as eager investors flocked to the site.

By the end of September it had attracted over 4,400 registered users, before closing abruptly on October 26th, police told Xinhua.

Investors were locked out of their accounts and contact details were found to be fake.

There’s no official word on how much money was stolen by the three suspects, but GBL apparently grew to become China’s fourth largest Bitcoin exchange by trading volume.

The largest, BTC China, is still in negotiations with financial regulators on steps which would allow the digital currency to be used to buy goods and services in the country.

However, despite the huge hype surrounding Bitcoin, especially in China, it still hovers in a “grey area”, neither officially recognised nor banned outright, BTC CEO Bobby Lee told Bloomberg this week. ®

Choosing a cloud hosting partner with confidence

More from The Register

next story
Bono apologises for iTunes album dump
Megalomania, generosity and FEAR of irrelevance drove group to Apple deal
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
America's super-secret X-37B plane returns to Earth after nearly TWO YEARS aloft
674 days in space for US Air Force's mystery orbital vehicle
10 Top Tips For PRs Considering Whether To Phone The Register
You'll Read These And LOL Even Though They're Serious
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.