Embezzlement Defense: Why Web3 Professionals Should Not Be Victims of Crime?On October 27, 2025, Pan Gongsheng, Governor of the People's Bank of China, reiterated at the Financial Street Forum that policies regarding the prevention and disposal of virtual currency trading speculation have remained effective since 2017 and will continue to crack down on virtual currency-related business activities to safeguard the economic and financial order. This statement has drawn an insurmountable red line for our country's virtual currency regulation policies.
However, on the other end of reality, a stark paradox is unfolding in judicial practice: many overseas Web3 projects and virtual currency exchanges that are not recognized by law or are explicitly prohibited, when internal disputes occur—especially when accusing employees of "occupational embezzlement"—frequently seek and obtain protection from domestic criminal law enforcement. Some prosecuting agencies, by expanding the interpretation of the concept of "unit" and forcibly connecting jurisdiction, have extended the protections of criminal law for the crime of occupational embezzlement to these entities that should be strictly regulated and severely punished.
This has triggered a
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