Pay attention to the following points to effectively prevent your card from being frozen after receiving black money.
(1) For OTC transactions, try to choose a large platform like Binance. These platforms have better communication channels and risk control methods with mainland regulatory agencies and law enforcement agencies.
(2) Try to choose an OTC platform that supports T+1/T+2 withdrawal strategy. Although you cannot withdraw money immediately after selling the coins, it reduces the risk of money laundering through OTC transactions. For example, Binance T+1 and Huobi Select Trading (compared to free trading, T+2 withdrawal).
(3) Avoid directly using stable currency OTC transactions such as USDT. Try to use mainstream currencies such as BTC and ETH for OTC transactions.
(4) The bank card used for OTC transactions must be a separate card that is not used normally and separated from the salary card. In this way, even if it is frozen, it will not affect the use of other funds. When cooperating with the investigation, it is easy to clarify the flow of funds.
(5) Bank cards for OTC transactions should try to use cards from local banks, such as city commercial banks and rural commercial banks in various places. Large and medium-sized joint-stock and commercial banks such as Industrial and Peasant China Construction Bank have branches all over the country, so law enforcement agencies can basically freeze them directly.
(6) Do not conduct frequent transactions with fixed merchants, and do not conduct frequent transactions with fixed users. It is very dangerous for the same user to make more than 3 indirect purchases in a day, or to sell again a few hours later, and is highly suspected of money laundering.
(7) Find reliable OTC merchants for transactions. Try to take the initiative to take orders from large merchants and market makers, place fewer orders, and touch less merchants in problem areas. In fact, as an ordinary user, it is difficult to tell which merchants are reliable. For example, a large number of friends who transacted with Huobi Blue Shield service merchants have also had their cards frozen.
(8) Reduce the frequency of cash withdrawals and increase the amount of cash.
(9) After OTC transactions, do not transfer it to your other bank cards to avoid contaminating other funds and making it troublesome to cooperate with the investigation. If you need money urgently, you can withdraw cash through ATM or spend it online.
(10) Try to choose working days for cash out. It is best to trade during normal working hours such as working days, such as cashing out between 9 a.m. and 9 p.m.
(11) Do not transfer money immediately after receiving it. After selling USDT and converting it into RMB, do not transfer it out immediately, keep it in the account for a period of time.
How should we explain when our card is frozen so that we can prove that we are not involved in money laundering activities?
(1) The individual is a normal Bitcoin buying and selling transaction and does not involve money laundering or other transactions;
(2) He did not know that the debt received from selling coins was suspected of being a crime;
(3) Cooperate to provide all transaction records, chat records, on-chain transfer records, etc.;
(4) You must be very clear that personal transactions in digital assets do not violate the law.
In OTC transactions, the withdrawal bank card is frozen by the public security and judicial authorities. What materials will the other party require the individual to provide in order to lift the freeze?
Common information to be provided mainly includes: complete transaction records, such as bank card transactions, on-chain transaction records, order records on the trading platform, WeChat chat records (including content communicating the transaction process), and other evidence that can prove the legitimacy of the assets. , even proof of income, etc.
So, once you unfortunately receive black money and your card is frozen, how should you solve it?
First of all, go to the bank where you opened your account to find out the reason for freezing the card and what is the authority that has the authority to freeze the card.
The reasons for freezing cards can be summarized into two types, bank risk control and public security freezing.
1. Bank risk control. Bank risk control may be caused by recent frequent large-value card transfers, scattered transfers in and out, centralized transfers in and out, fast in and out, frequent transactions at night, no balance left in the account, etc., collectively referred to as transaction abnormalities. This triggered the bank's anti-money laundering risk control system.
2. Freeze by the police. Usually the account has received stolen money from other people involved in the case, either directly or indirectly. The public security will stop payment and freeze all related accounts through which the water involved in the case flows, so as to prevent the transfer of funds and facilitate the investigation of the case.
How to solve the two reasons for frozen cards?
1. Freeze on bank risk control
Bring your ID card and bank card to the bank where you opened your account, and submit relevant reconciliation certificates. If there are policies and instructions related to the public security department, you must go to the local public security department to cooperate with the investigation. If the anti-fraud center's model control is triggered, you must fill in the anti-fraud application form required by the anti-fraud and pass the review before it can be unfrozen.
2. Cope with public security and judicial freeze.
Observe for 3 days first. See if the temporary payment stop has turned into a formal freeze (extended for half a year). If the card is officially frozen, go to the account opening bank as soon as possible to check the name of the public security unit that froze the card, the case number and the name of the police officer responsible for the case. Then get in touch with the responsible police officer to find out the reason for freezing the card and cooperate with the police investigation. After verifying that you have no illegal or disciplinary violations, your account will be unfrozen.
