virtual currency trading is not illegal.
The reasons are as follows:
1. The behavior of virtual currency investment transactions is legal, and only those who commit crimes through virtual currency investment transactions are illegal.
2. Virtual currency is an electronic currency generated by open source P2P software, which is not issued by a specific monetary institution. The law does not expressly stipulate that virtual currency is illegal. According to the principle of legality, virtual currency is not illegal, but criminals may use virtual currency to commit crimes.
3. Virtual currency is not real currency, but exists in the network world in digital form. Different from traditional currency, virtual currency cannot be used as currency in the market, and investment and trading of virtual currency are not protected by law. Virtual currency is not issued by monetary authorities, has no monetary attributes such as legal compensation and compulsion, and has no legal status equivalent to currency, so it has certain transaction risks.
The essential attribute of virtual currency business activities:
1. Virtual currency does not have the same legal status as legal tender, such as Bitcoin, Ethereum and Teda currency, which have no legal compensation, and should not and cannot be used as currency in the market.
2. It is illegal to carry out virtual currency-related business activities such as legal tender and virtual currency exchange business, virtual currency exchange business, buying and selling virtual currency as a central counterparty, providing information intermediary and pricing services for virtual currency transactions, token issuance financing, and virtual currency derivatives trading. It is suspected of illegal selling token tickets, unauthorized public offering of securities, illegal futures business, illegal fund-raising, etc. If it constitutes a crime, criminal responsibility shall be investigated according to law.
3. Domestic staff of relevant overseas virtual currency exchanges, as well as legal persons, unincorporated organizations and natural persons who know or should know that they are engaged in virtual currency-related businesses and still provide them with services such as marketing promotion, payment and settlement, and technical support, shall be investigated for relevant responsibilities according to law.
4. There are legal risks in participating in virtual currency investment and trading activities. If any legal person, unincorporated organization or natural person invests in virtual currency and related derivatives, which violates public order and good customs, the relevant civil legal acts shall be invalid and the losses shall be borne by themselves; Suspected of undermining financial order and endangering financial security, the relevant departments shall investigate and deal with it according to law.
I hope the above contents can help you. If you have any other questions, please consult a professional lawyer.
Legal basis: Article 192 of the Criminal Law of the People's Republic of China
The crime of fund-raising fraud is to illegally raise funds by fraudulent means for the purpose of illegal possession. If the amount is relatively large, it shall be sentenced to fixed-term imprisonment of not less than three years but not more than seven years and fined; If the amount is huge or there are other serious circumstances, he shall be sentenced to fixed-term imprisonment of not less than seven years or life imprisonment, and shall also be fined or confiscated.
if a unit commits the crime mentioned in the preceding paragraph, it shall be fined, and the directly responsible person in charge and other directly responsible personnel shall be punished in accordance with the provisions of the preceding paragraph.