• China is warning telecom companies based overseas to not use “new technologies” such as digital assets, blockchain, AI and the metaverse for nefarious purposes.
• The Chinese Central Political and Legal Committee has pledged to “severely crack down” on illegal activities by foreign companies and increase public awareness.
• Hong Kong is now allowing retail investors to buy bitcoin, which may be a sign that China is warming up to crypto trading again despite once banning cryptocurrency mining operations and trading in general.
Chinese Regulators Warn Overseas Telecoms of Crypto Crackdown
China has warned telecom companies based overseas against using new technologies such as digital assets, blockchain, AI, and the metaverse for nefarious purposes. The Chinese Central Political and Legal Committee has pledged to “severely crackdown” on illegal activities by foreign companies operating from outside the country and increase public awareness.
Cases of Telecom Network Fraud
The Intermediate People’s Court of Xuzhou in East China’s Jiangsu Province is reportedly focusing on 52 telecom network fraud cases with 85 defendants recently sentenced.
China Warming Up To Crypto Trading Again?
Hong Kong is now allowing retail investors to buy bitcoin (BTC), which may be an indication that China might be warming up to crypto trading again despite having previously banned cryptocurrency mining operations and trading in general. Major crypto-related websites including CoinGecko, TradingView, and CoinMarketCap were blocked through China’s internet firewall at one point.
Increased Public Awareness
The committee also stated that they will work together with other departments like finance, telecommunications, Internet, etc., apply advanced technical means to fulfill the responsibility of supervision while increasing public awareness.
In conclusion, it appears that China is taking steps towards allowing crypto trading again as well as increasing public awareness regarding fraudulent activities related to digital currencies from foreign entities operating outside of the country.