According to Chinese media reports, the country’s largest bitcoin investor, Zhao Dong, was detained by police. The arrest occurred against the backdrop of reports of massive lock-ups in Chinese banks of user accounts suspected of working with cryptocurrencies.
Zhao Dong, China’s largest bitcoin investor and head of the RenrenBit over-the-counter crypto credit platform, was detained by police in Hangzhou, Zhenjiang Province. Friends and relatives of Zhao tried to refute the information about the arrest, but reports from other sources confirm this information.
Thus, three sources close to Zhao Dong confirmed that Hangzhou police called him in for questioning on June 24 and that this was most likely due to over-the-counter trading facilitated by his RenrenBit platform, as the Chinese government intends to tighten control over the growing cryptocurrency market. According to other information, Zhao was not arrested, but he in the police on his own will. RenrenBit released a statement saying that Zhao returned from a trip to Tokyo in June and agreed to cooperate with the investigation. The company also explained that its cooperation with the police has nothing to do with RenrenBit, but with Zhao’s secondary business activities. The company also emphasized that it continues to operate normally.
Zhao is one of the most influential and respected figures in the crypto community of China. Matthew Graham, CEO of Sino Global Capital, tweeted that his arrest can only be compared to the arrest of one of the Winklevoss brothers.
Zhao, usually active on social networks, has not posted any posts in the past few days, which can also be considered as confirmation of information about his arrest.
RenrenBit CEO also holds a minority stake in Bitfinex. According to the technical director of Bitfinex, his share is much less than 5%.