Shenzhen has identified 39 companies suspected of engaging in illegal virtual currency activities

Shenzhen Special Zone News (Reporter Shen Yong) Virtual currency speculation will be included in the focus of Shenzhen's local financial supervision. Yesterday, the reporter learned from the Shenzhen Internet Financial Risk Special Rectification Leading Group Office (hereinafter referred to as the "Shenzhen Internet Finance Rectification Office") that the office has currently issued a risk warning on preventing virtual currency speculation, and notified the rectification offices of various districts, Qianhai Authority, Shenzhen Central Branch of the People's Bank of China, Economic Investigation Bureau of the Municipal Public Security Bureau, Municipal Communications Administration and other units to jointly carry out virtual currency trading venues.

According to the risk warning, since the release of the Notice on Preventing the Risks of Token Issuance and Financing in 2017, illegal virtual currency activities in Shenzhen have been greatly reduced, and related financial risks have been effectively controlled. However, recently, with the promotion of blockchain technology, virtual currency speculation has risen, and some illegal activities have shown signs of resurgence. The Municipal Internet Finance Regulation Office will conduct a survey of illegal virtual currency activities within its jurisdiction through various channels; once discovered, it will be severely dealt with in accordance with the requirements of the Notice on Preventing the Risks of Token Issuance and Financing. Investors should be vigilant against illegal virtual currency financial activities, report relevant illegal and illegal clues in a timely manner, and beware of being deceived.

This operation will focus on investigating three types of activities: first, providing virtual currency trading services or opening virtual currency trading venues within the country; second, providing service channels for overseas virtual currency trading venues, including traffic diversion, agency trading and other services; third, selling tokens under various names to raise funds or virtual currencies such as Bitcoin and Ethereum from investors. The rectification offices of various districts, Qianhai Authority, Shenzhen Central Branch of the People's Bank of China, Economic Investigation Bureau of the Municipal Public Security Bureau, Municipal Communications Administration and other units have been notified to complete the investigation work before November 25, and submit the list and information of enterprises engaged in virtual currency-related activities within their jurisdiction to the Municipal Internet Finance Rectification Office. The above-mentioned enterprises found in the investigation will be dealt with immediately and dealt with early and small.

The latest information shows that the Shenzhen Local Financial Regulatory Bureau has identified 39 companies suspected of engaging in illegal activities involving virtual currencies through the Lingkun system.