A district court in Taiwan has sentenced the founder of crypto exchange BitShine, identified as Shih, to 22 years in prison after finding that he led a fraud ring tied to the platform. The court said the scheme ran from January 2024 to April 2025 and caused losses of more than $39 million for over 1,500 victims. According to the report, BitShine had registered with Taiwan’s Financial Supervisory Commission, or FSC, and presented itself as a legitimate exchange while helping fraud groups convert victims’ money into USDT and move the funds overseas. Prosecutors also said Shih recruited unwitting compliance staff to set up KYC procedures and instructed scam operators on how to respond to verification checks. The ruling comes as Taiwan tightens oversight of the sector through its Virtual Asset Service Act, which requires crypto firms to obtain an FSC license before operating.
Taiwan’s Shilin District Court has sentenced BitShine founder Shih to 22 years in prison. The court found that Shih led a fraud organization from January 2024 to April 2025 and that the operation caused losses of more than $39 million for over 1,500 victims through the exchange platform.
Court says platform was used to convert funds into USDT and move them overseas
According to Techub News, citing crypto.news, BitShine had registered with Taiwan’s Financial Supervisory Commission (FSC) and appeared to operate as a legitimate exchange. The court found that it in fact helped fraud groups convert victims’ funds into USDT and transfer the money overseas.
Prosecutors said Shih recruited unwitting compliance personnel to build KYC procedures and instructed scam participants on how to handle verification checks.
Ruling comes as Taiwan tightens rules for virtual asset firms
The ruling came as Taiwan passed its Virtual Asset Service Act. Under the law, crypto companies must obtain FSC approval before they can operate.
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