Alarmed at 3 a.m. by a stranger's call, the caller claimed to be from a certain local public security bureau and directly asked whether I had recent virtual asset transaction records. Honestly, at that moment, I felt a jolt in my heart, and images of frozen accounts and confiscations flashed through my mind.

Having worked in crypto market analysis for five years, I’ve seen too many cases of people being questioned over stablecoin transactions. To be honest, most people don’t get into trouble because of the transactions themselves, but because they don’t know how to cooperate with the investigation. The police just want to verify a few basic questions. If you’re well prepared and communicate clearly, the whole process isn’t as scary as it seems.

Here are some practical scripts, all learned from painful lessons.

**The first must-answer question: Do you know that this type of asset is not protected by law?**

Never say “I don’t understand” or “a friend recommended it.” Such answers are basically pushing yourself into the trap of “ignorant illegal activity.”

My way of responding is:
“I am very aware of this. The domestic law does not recognize virtual assets as currency, and related transaction disputes cannot be resolved through regular legal channels. But I also understand that personal legal asset exchanges do not violate the law. So, I always carefully select platforms and trading partners, and never touch projects with unclear sources.”

Saying this has two benefits: it shows you “know the rules” and clearly distinguishes “lawful trading” from “illegal activities.” What the police want is for you to have basic awareness and not be a tool to be exploited.

There are two more core questions and response strategies involving proof of fund sources and organizing transaction records. Due to space, I’ll stop here. Remember one principle: cooperate honestly but don’t talk recklessly. Having a logical, substantiated response is your shield.