Local authorities in Beijing have issued a warning related to cryptocurrency trading. According to Shanghai Securities News, several authorities came together asking firms not to indulge in any cryptocurrency trading activities. The authorities combined of The Beijing Local Financial Supervision and Administration Bureau, the Beijing Banking and Insurance Regulatory Bureau, <a href="https://www.cryptoknowmics.com/crypto/bank-of-china-implements-blockchain-to-issue-28b-worth-of-financial-bonds/">People’s Bank of China</a> (Business Management Department), and the Beijing Securities Regulatory Bureau.
<h2>Local authorities warn</h2>
According to the authorities, the recent encouragement on the use of <a href="https://www.cryptoknowmics.com/crypto/red-cross-deploys-blockchain-to-boost-disaster-prone-communities/">blockchain </a>technology has increased the crypto trading activities in China. Through time, several trading platforms have significantly violated trading rules like banning ICO (Initial Coin Offerings).

Currently, the authorities ordered the firms neither to promote cryptocurrency platforms nor to engage in the trading business. Providing any kind of cryptocurrency-related services is also prohibited. The investors and traders are also being warned to avoid any kind of fraudulent activity. They are asked to report if any kind of violations of regulations takes place.
<h2>Recent Violations in China</h2>
Recently, Shenzhen authorities in China busted eight companies for conducting illegal crypto-related activities. Within the eight companies, two exchanges were unregistered. Six companies were accused of attempting to raise funds for tokens. The Beijing government has mentioned and warned about it in the recent blockchain drive.  An e-commerce platform and one more site providing tokenized rewards were associated with a cryptocurrency company have been called as offenders.
<h2>Recent Shutdowns</h2>
Also in November, around five cryptocurrency exchanges were shut down. As on November 4<sup>th</sup>, crypto exchange Biss announced it is cooperating with the investigation and they aren’t operating.

Another exchange Btuex revealed that they have halted their services and will reopen for overseas customers in the future. Exchange Idax mentioned that due to the government policy, they have stopped their domestic operations.  <a href="https://twitter.com/bitsoda">Bitsoda</a> and Akdex announced their decision to shut down operations in November.

Local Authorities of Beijing warn not indulge in crypto trading

Local authorities in Beijing have issued a warning related to cryptocurrency trading. Several authorities asked firms not to indulge in any such activity

Debarati is a finance MBA who is a keen observer of the current crypto currency market. She likes to read and write about the game changer and industry transforming news of the market.

Local Authorities of Beijing warn not indulge in crypto trading

Top Picks