The Bottom Line Up Front Operating a “Web3 studio” that rents out thousands of accounts to create fake volume for token projects is not a regulatory gray area in China—it is a criminal minefield. The act of “providing liquidity services” is, under current Chinese law, indistinguishable from aiding fraud, illegal fundraising, unlicensed financial activity, money-laundering and criminal-network assistance.Regulatory Backdrop: Two Notices, Zero Wiggle Room2017 “Notice 94” – ICOs banned; virtual-...