According to a blog post published on WeChat on Thursday, PBoC has been assisting authorities in identify illegal online gambling rings using USDT to transact money overseas and launder proceeds.
The websites participating in the fraudulent activity were facilitating transactions for domestic players and allowing them to transact money outside of the country for the purposes of gambling.
A recent case cited the arrest of 77 suspected who used USDT for cross-border transactions in Huizhou, Guangdong.
Responding to the latest case, the central bank said that the affair was extremely sophisticated, using multiple layers to hide the original intent of the transactions.
A recent surge in gambling-related activities has elicited a stronger approach by law enforcement that have been freezing account of suspected parties involved in illegal gambling.
Gambling is still prohibited in China outside the national lottery, which is sanctioned by the government.
Alternatively, mainlanders can travel to Macau, which is exempt via a special administrative status.
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