As stated by analysts and a financial regulator, more actions are demanded, including linking illegal crypto projects in China more directly with the country’s criminal law.
Last month, China’s State Council, or cabinet, promised to crack down on bitcoin mining and trading. This increased a campaign versus cryptocurrencies days after three industry bodies prevented crypto-related financial and payment services.
Over the weekend, way too several widely followed crypto-related Weibo accounts were rejected. They had a message saying each account disrupts laws and rules.
It’s Judgment Day for crypto KOL. This Weibo user is a bitcoin commentator, or key opinion leader (KOL). She describes herself as a Woman Dr. bitcoin mini. She also couldn’t access her main account on Saturday.
Winston Ma about Chinese Crypto Market
The government makes it evident that no Chinese version of Elon Musk can endure in the Chinese crypto market, declared NYU Law School adjunct professor Winston Ma.
Ma, the creator of the book “The Digital War,” also assumes China’s supreme court to issue a judicial interpretation soon that may link crypto mining and trading businesses with China’s body of criminal law.
A financial regulator also shared the view. According to them, such an analysis would address the legal uncertainty that has disappointed to recognize bitcoin trading businesses as “\illegal operations. Administrative bodies are the only ones who have issued all the rules upon cryptos in China.
The Weibo freeze appears as Chinese media have moved up reporting versus crypto trading.
The official Xinhua News Agency has written articles that revealed a series of crypto-related scams. According to the state broadcaster CCTV cryptocurrency has light regulation. Hence, people practice it in black market trade, money laundering, arms smuggling, gambling, and drug dealings.
The stepped-up crackdown also appears as China’s central bank is stimulating the testing of its digital currency.