Crypto Trading Under Pressure, China Crackdown Intensifies

The People’s Bank of China (PBoC) says it will continue cracking on with its regulatory pressure over the crypto trading industry. The country’s central bank believes crypto trading brings financial risk to the economy.

The series of crackdowns that are currently prevailing in the nation seems to be the most severe one since 2017. China announced its decisions made during a meeting recently. It confirms how regulators will be progressing on the matter of monetary policy.

Specifically, this monetary policy will reflect the progress made in the first half of this year. They evaluated the progress from her to determine the next steps needed for the rest of 2021. In detail, the PBoC published a detailed list of the discussion.

Among the list, crypto trading is highlighted along with many platform companies. Most of these refer to fintech titans such as Ant Group. It comes as no surprise that Ant Group made the list as the PBoC and other similar entities only began to clamp down on regulations after the Ant Group incident.

To specify, the internet finance industry came under fire only after Ant Group’s planned blockbuster IPO got canceled in November 2020. Since then, multiple government bodies in the country have revisited their regulations.

In addition to this announcement of the continued crackdown, the PBoC had other news. The entity said that it will begin to promote green finance. This means that it will open up financial markets and continue the de-risking campaign.

More so, it will also boost the yuan internationalization initiative as well as push for the digital yuan rollout. In contrast, the central bank is still refusing to let banks and payment companies from offering any crypto-related service.

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