China's Banks Ordered to Stop Dealing with Cryptocurrency Transaction
Fazzaco learned that the People’s Bank of China (PBOC), China’s central bank, has discussed the issue of the recent speculative activities around crypto trading with financial institutions and payment providers like the Industrial and Commercial Bank of China, Agricultural Bank of China, Construction Bank, Postal Savings Bank, Industrial Bank, and the Alipay (China) Network.
These banks are required to stop dealing with cryptocurrency transactions, as well as cut off any funding channels for crypto OTC merchants if found.
Shortly after the PBoC's statement, the ICBC, ABC, CBC and AliPay all issued a similar notice, stating that they will not allow cryptocurrency transactions in any manner.
The latest effort of the central bank to crack down on crypto trading activities aim to protect Chinese citizens and “combat the speculation of Bitcoin and other virtual currency transactions.”
As Fazzaco reported earlier, PBoC has cracked down on cryptocurrencies with issuing warnings against using digital coins as payment. As a result, the price of Bitcoin fell below $34,000 for the first time in three months on May 19 and other cryptocurrency including Ethereum, Dogecoin, SHIB, etc. showed the same trend.
Subscribe Now
