According to ChainCatcher, according to an article on Huoxiaolu's WeChat account, a defendant in a Chongqing case, He, was sentenced to three years in prison and a fine of 5 million yuan by the People's Court of Yubei District, Chongqing for illegal business operations because he illegally engaged in fund payment and settlement business on a virtual currency trading platform and earned the price difference.

After the first-instance judgment, He appealed to the First Intermediate People's Court of Chongqing. During the appeal, He claimed that the exchange business between virtual currency and RMB did not constitute fund payment and settlement, and therefore did not constitute illegal business operations.

After trial, the First Intermediate People's Court of Chongqing recently ruled to dismiss the appeal and uphold the original judgment.