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China's central bank vows crackdown on virtual currency, flags stablecoin concerns
The People's Bank of China warned of rising crypto speculation and stablecoins' AML failures, vowing to intensify crackdowns to safeguard financial stability.
- On Nov 29, the People’s Bank of China reaffirmed a tough stance on virtual currencies, warning of a recent resurgence in crypto speculation and signaling heightened regulatory focus in Beijing.
- China's phased bans since 2017 and a 2021 trading ban frame the crackdown, and the PBOC said at a coordinating meeting on Friday that crypto speculation recently increased, raising risk-control challenges.
- Stablecoins, the bank said, fail customer-identification and anti-money-laundering controls, and officials warned they risk misuse for underground payments, fraud and illegal cross-border transfers.
- The central bank said it will `intensify efforts to combat related illegal financial activities` and stressed that `virtual currencies do not hold the same legal status as fiat currency` to protect economic and financial stability.
- Hong Kong has established a stablecoin regime but has not awarded licences, while Bitcoin miners quietly return in energy-rich Chinese provinces exploiting cheap electricity and data centers.
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41 Articles
Coverage Details
Total News Sources41
Leaning Left3Leaning Right3Center8Last UpdatedBias Distribution57% Center
Bias Distribution
- 57% of the sources are Center
57% Center
L 22%
C 57%
R 21%
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