At this point China probably has a botnet that can be turned on with a few deploys, and spans a majority of homes in US and RU (and thus is unblockable without disconnecting half of voters from the internet). Ready to attack the infrastructure.
The devices are used to sell proxy services and scam advertisers. This doesn't even need particularly large organised crime. It would certainly be easier than large scale illicit drug importation and retail, which is happening all the time.
Could China exploit these streaming sticks if it wanted to? Maybe, but no more than any other nation.