Chinese police have launched a case for investigation against companies linked to Yixin, whose affiliated funds previously participated in financing for crypto projects such as Circle and Figure.

Beijing Chaoyang District Public Security Bureau has issued a police notice stating that it has recently filed a criminal investigation against relevant companies of Chinese fintech firm CreditEase on suspicion of illegal crimes. Multiple suspects including actual controllers Tang * (male, 53) and Zhao * (female, 51) have been lawfully taken criminal compulsory measures. The police noted that they are currently fully committed to investigating the case, urging investors to actively cooperate with investigation and evidence collection, while warning against fraudsters committing fraud under pretexts such as "early redemption". CreditEase is a Chinese fintech company founded by Tang Ning. It previously operated P2P products, with its subsidiary Yirendai listed on the New York Stock Exchange. Since May 22 this year, CreditEase has fully suspended redemption of its fixed-income-like products and launched a so-called "benign liquidation" involving about 30 billion yuan, affecting nearly 100,000 high-net-worth clients. Four months after the redemption suspension, CreditEase recently sent apology letters to clients, admitting that the group may be insolvent with a large debt repayment gap. CreditEase has extensive presence in wealth management and investment businesses. Public information shows that its subsidiaries' funds have directly participated in financing of crypto-related projects including Circle, Figure, Poko, and Cashmere Wallet, and it has invested as a limited partner (LP) in multiple traditional VC funds. CreditEase has an entity in Singapore: CreditEase Asset Management (Singapore) Pte. Ltd., which holds a license from the Monetary Authority of Singapore (MAS) and is mainly engaged in asset management business.