China’s Central Bank to Shut Down 11 Crypto Companies

China is a region that is against cryptocurrencies, mining, and decentralization or, in retrospect, everything that is crypto. China was considered the leading platform when it came to Bitcoin mining and used to provide a solid hash rate to the Bitcoin’s blockchain, but then regulatory factors and the environmental aspects started to weigh in, and there was a massive crackdown against Bitcoin miners, the hash rate plummeted, and soon we were in a mid-May market-wide crash. And now China is after the crypto exchanges; it has reportedly closed several exchanges in the past and now has passed the reigns to its central bank, People’s Bank of China (PBoC). 

Central bank’s Shenzhen branch is reportedly going to close more than 11 crypto trading companies that were operating within the region on illegal terms and not having any regulatory capital or permission, for that matter. These exchanges were working in the trading and the financial industry but are no longer active now over regulatory concerns. There are almost 46 companies on the list formulated by the central bank that are reportedly not working under any regulatory insight, have an illegal working correspondence, and need to go. 

China will not Allow Unregistered Crypto Exchanges to Operate within the Region

The bank has also established resources and checkpoints that allow for the speculation of the illegal transactions taking place with the help of cryptocurrencies through these listed exchanges and also speculating the ups and downs in the foreign currencies and any transactions targeting the exchange of crypto into fiat currencies or the other way around.  All of these 11 trading platforms that the central bank recently seizes were either involved in illegal trading affairs or pouring out the money they made via this trade into forex or stock market to see some positive and legal returns coming their way. But now, nothing like this can go on as China has taken a harsh regulatory stance over these companies and exchanges. Only those who have proper licensing and clearance will be able to operate while the others see legal penalties and closure.

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