Former executives at Huludao Bank, including Li Yulin and Li Xiaodong, have been accused of colluding with the bank's former major shareholder, Duan Hongtao, and Zhou Zhilong to embezzle 2.6 billion yuan. The alleged scheme involved creating a false asset management plan to misappropriate funds, which were then used for personal expenses. A significant portion of the embezzled funds, over 1.8 billion yuan, was illegally converted into foreign currency and transferred to a Hong Kong company account controlled by Duan Hongtao.

The investigation into the embezzlement scheme led to the arrest and sentencing of a jobless man in his 30s, who was involved in transferring over 250 million yuan of the embezzled funds using his bank cards. He was sentenced to two years and three months in prison and fined 2 million yuan. Further investigation revealed that a group of individuals, including Xiang, Chen, Zheng, Xu, Kong, and another Xiang, were involved in laundering the embezzled funds through cryptocurrency purchases.

The group, led by Xiang, used WeChat groups like 'Longmen Inn' to purchase cryptocurrencies at inflated prices. The acquired cryptocurrencies were then sold abroad through overseas buyers, and the proceeds were converted into US dollars and other currencies and remitted to a Hong Kong company bank account. Chen was responsible for counting and verifying the funds, while Zheng handled remittances. Xu, Kong, Xiang, and defendant Chen were involved in purchasing cryptocurrencies.

The embezzlement scheme and subsequent money laundering operation are estimated to have involved billions of yuan. The case highlights the risks of cryptocurrency being used for illicit activities and the need for increased regulation and oversight. The investigation and sentencing of those involved serve as a warning to individuals who seek to use cryptocurrency for illegal purposes.

In conclusion, the former executives of Huludao Bank and their accomplices allegedly embezzled billions of yuan through a sophisticated scheme involving cryptocurrency. The case demonstrates the importance of regulatory bodies and law enforcement agencies working together to combat financial crimes and ensure that those responsible are held accountable.