When you make a significant amount of money in cryptocurrency and try to withdraw it as cash, especially if it’s a large sum like $100 million, banks are likely to inquire about the source of your funds. For instance, if you continuously sell USDT (Tether) and accumulate around $5 million in your account without withdrawing it, the bank may reach out to you. They might offer financial services such as insurance, trusts, or VIP accounts.
However, selling USDT on platforms carries the risk of dealing with "black money" (illegally obtained funds). If you unknowingly engage with third-level black money and the amount is relatively small, your account could be frozen for a few days. For larger sums, the freeze could last months. Second-level black money might lead to a six-month freeze or even confiscation of funds, with the possibility of legal action. Smaller sums might be resolved with a 10% compensation, but larger amounts could lead to more severe consequences, including jail time and a five-year restriction on financial activities.
If you sell USDT at unusual prices, such as selling for 7.5 yuan when the market rate is 7 yuan, you could be suspected of illegal activities. It's crucial to avoid transactions at suspiciously high or low rates to prevent being accused of concealing illicit funds.
To minimize legal risks, avoid using untrusted platforms or dealing with unknown merchants when selling USDT. Cash transactions are particularly risky, as they may involve black money or compromise your personal safety.
If you've accumulated significant profits and want to withdraw them, it's safer to work with someone you trust. Typically, they would provide the money first, and you would transfer the USDT after confirming the funds. It's important to avoid accepting money from accounts with frequent suspicious transactions or those where the funds haven't been deposited for at least three days. Always stick to normal, personal-use accounts.
