Beijing Securities Regulatory Bureau: No promotion of virtual currency projects or platforms

Original title: Further precautions against risks in "virtual currency" trading activities

Source: Beijing Securities Regulatory Bureau

Recently, with the promotion of blockchain technology, virtual currency trading activities have shown signs of resurgence in the country. Some virtual currency trading platforms provide virtual currency trading services to domestic residents, and launch zero-interest lending, dual-currency wealth management and other projects through digital currency mortgages. This seriously violates the "Announcement on Preventing the Risks of Token Issuance and Financing" issued by the People's Bank of China and seven other ministries and commissions, and is suspected of engaging in illegal financial activities and disrupting the economic and financial order.

The financial management departments, network and telecommunications management departments, and public security departments under the jurisdiction continue to maintain high-pressure supervision on virtual currency transactions, ICOs, and disguised ICOs, and use a combination of on-site interviews, administrative investigations, website closures, criminal case filings, and other means to crack down on them.

Here, we seriously warn the institutions and personnel in Beijing who are carrying out related activities that they must not publicize or promote relevant virtual currency projects or platforms, must not engage in virtual currency sales or transactions, must not conduct virtual currency transactions or disguised transactions to investors, must not engage in or act as agents in domestic and foreign virtual currency issuance and trading activities. Financial institutions and non-bank payment institutions under the jurisdiction must not provide services for any virtual currency transactions.

At the same time, we remind investors to remain rational, strengthen their awareness and identification of risk prevention, guard against being deceived, and report relevant clues of illegal and irregular activities in a timely manner.

Beijing Municipal Local Financial Supervision and Administration Bureau

Business Management Department of the People's Bank of China

Beijing Banking and Insurance Regulatory Bureau

Beijing Securities Regulatory Bureau

December 27, 2019

Editor-in-charge: Zhang Wen