The Asian giant has stepped up its crackdown on bitcoin trading and mining. Notably, a slew of crypto-related accounts in China’s Twitter-like Weibo platform, with over 530 million monthly active users, were blocked.
CoinGecko’s data reveaed that Bitcoin and many others in the top 30 cryptocurrencies, excluding stablecoins, decreased in the past 24 hours. However, the second-largest cryptocurrency, Ethereum, was slightly higher.
According to analysts and a financial regulator, more actions are anticipated, including linking illegal crypto activities in China more directly with the country’s criminal law.
In May, China’s State Council, or cabinet, pledged to crack down on bitcoin mining and trading, escalating a campaign against cryptocurrencies days after three industry bodies forbidden crypto-related financial and payment services.
Local reports announce that various crypto influencers on Weibo have been unable to use their accounts on Saturday night. Weibo greeted other users who visited suspended accounts with a message saying the banned accounts have violated Weibo guidelines and relevant laws and regulations.
Weibo user called Weibo’s action a Judgment Day crypto influencers
Remarkaby, a Weibo user named Woman Dr. bitcoin mini, who saw her account was blocked on Saturday, called Weibo’s action a Judgment Day crypto influencers.
According to NYU law school adjunct professor and former China Investment Corporation managing director Winston Ma, the Chinese government clarifies that no Chinese version of Elon Musk can exist in the Chinese crypto market.
Ma anticipates China’s supreme court to publish a judicial interpretation soon that may link crypto mining and trading businesses with China’s body of criminal law.
After Chinese authorities started investigating crypto mining data centers’ energy consumption in April, Bitcoin mining became a risky operation in the country. Meanwhile, major miners have reported that they will end their operations in the country.
In May, financial regulators in China’s Hainan province warned citizens about illegal fundraising campaigns that use digital currency or blockchain as promotion material, saying that illicit token issuance and financing activities are banned.