People’s Bank of China targets crypto firms in Shenzhen crackdown

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The Shenzhen office of the People’s Bank of China (PBOC) has reportedly set out to correct the business activities of a dozen companies allegedly engaged in cryptocurrency transactions. According to Chinese media, the entities were targeted during a crackdown on crypto trading in the city.

People’s Bank of China crackdown on coin trading in Shenzhen

China’s central bank branch in Shenzhen is tackling illegal cryptocurrency trading, Chinese economic news newspaper Cnstock.com revealed on Tuesday. As part of the new campaign, the PBOC “rectified” 11 companies “suspected of carrying out illegal virtual currency activities,” the report explains.

According to the article, the regulator also identified a local financial website accused of illegally advertising foreign currency cash deposit transactions. In addition, the People’s Bank of China has investigated eight cases involving illicit online currency trading and cross-border stock transactions.

It is not known whether the targeted entities were allowed to continue their other business activities. According to Chinese crypto journalist Colin Wu, also known as “Wu Blockchain” on Twitter, the PBOC shut down all 11 companies.

The Shenzhen branch of the Central Bank of China recently launched a special crackdown on illegal cryptocurrency trading activities and shut down 11 companies suspected of carrying out illegal virtual currency activities.

– Wu Blockchain (@WuBlockchain) August 17, 2021

In addition to cracking down on crypto trading, the regional office of the Chinese central bank has also embarked on a mission to help consumers and businesses avoid breaches of current financial regulations. The initiative includes an educational program dedicated to financial risk prevention. The branch has organized expert teams that will provide door-to-door services to more than 3,000 businesses to improve their management of currency issues.

The regulatory campaign in Shenzhen comes amid an ongoing Beijing government offensive against decentralized digital currency activity across the country. It also coincides with efforts to promote the use of the new national digital currency, the yuan, a CBDC issued by the People’s Bank of China.

In May, the State Council, the executive branch in China, pledged to focus on cryptocurrency mining and digital asset trading as part of its efforts to establish control. on financial risks and achieve its long-term environmental objectives. This year, Chinese central authorities reiterated previous warnings regarding the crypto industry.

Do you think the People’s Bank of China will expand its crackdown on crypto activity in Shenzhen? Share your expectations in the comments section below.

Keywords in this story Branch, Business, Campaign, China, Chinese, Business, Suppression, Crypto Activities, Crypto Trading, Cryptocurrency Transactions, Digital Currencies, Digital Yuan, Currency Exchange, Office, PBOC, People’s Bank of China, program , shenzhen, Virtual Currencies

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