China: Crypto-currency transactions declared as illegal financial activities
Description
Crypto-currency transactions declared as illegal financial activities
On 24 September 2021, the People's Bank of China declared all transactions involving virtual currencies as illegal financial activities, reasoning that the move was necessary for the protection of private property. After banning the trade of crypto-currency in 2019, China now added criminal prosecution as consequence for people who pursue crypto-currency trading. Even foreign websites providing such services in China will now be deemed to be engaging in criminal activity. Furthermore, crypto-mining is categorized as an illegal activity.
Original sourceScope
Policy Area
Authorisation, registration and licensing
Policy Instrument
Authorisation of goods or services
Regulated Economic Activity
digital payment provider (incl. cryptocurrencies)
Implementation Level
national
Government Branch
executive
Government Body
central bank
Key regulatory dimensions
Regulated subjects
The businesses, government agencies or individuals affected by this policy or regulatory change.
producer / supplier
1
Type
Private organisation
Economic activity
cross-cutting
Category
All
2
Type
Private organisation
Economic activity
digital payment provider (incl. cryptocurrencies)
Category
All
Policy change by business practice
The detailed activities within the scope of this policy or regulatory change.
cryptoasset: currency: distribution (any form)
Regulatory tool
Purpose/processing limitation
Sanctions
Determined by existing law or regulation
Regulated subjects
1 2
cryptoasset: currency: hosting (any form)
Regulatory tool
Purpose/processing limitation
Sanctions
Determined by existing law or regulation
Regulated subjects
1 2