Police in Southeast China’s Sichuan province have dismantled an underground bank that used the USDT stablecoin for foreign currency exchanges, involving transactions worth at least 13.8 billion yuan ($1.9 billion).

The police in Chengdu city posted a state media report on Thursday, saying that the criminal group mainly served those who sought to smuggle medicine and cosmetics or those who looked to purchase assets overseas.

A total of 193 suspects have been arrested nationwide in connection with this case, with authorities freezing assets valued at 149 million yuan, according to the report. Underground banking involves transferring money using informal methods instead of official channels.

The criminal group, led by individuals with the surnames Lin, Weng, and Chen, reportedly used …