Pan Gongsheng Pledges to End Cryptocurrency Speculation in China
The new governor of China’s central bank, Pan Gongsheng, has vowed to put an end to speculation associated with cryptocurrency transactions in the country. In his report on the financial work of the State Council, Gongsheng outlined measures to maintain stability in the Chinese financial market and prevent risks.
PBOC’s Focus Areas
Gongsheng emphasized that the People’s Bank of China (PBOC) must seek progress while maintaining stability. The report highlights key areas of focus for the PBOC, including implementing prudent monetary policy, strengthening financial supervision, deepening financial reform, and ensuring the stable operation of financial markets.
Cracking Down on Illegal Activities
As part of efforts to prevent hidden financial risks, the PBOC plans to “severely crack down” on illegal financial activities and fundraising. Additionally, it aims to “resolutely curb” domestic virtual currency speculation. The regulator will also intensify investigations into money laundering cases.
Guiding Financial Market Behavior
Gongsheng stressed that the PBOC should guide and stabilize financial market behavior and expectations. The bank will take timely measures based on market conditions to prevent risk contagion in stock, bond, and foreign exchange markets.
The Crackdown on Crypto in China
In 2021, China implemented a crackdown on crypto-related activities, particularly mining. The government has also been promoting its central bank digital currency (CBDC), the digital yuan, with trials already underway in 26 cities.
Hot Take: China Takes a Tough Stance on Cryptocurrency Speculation
The new governor of China’s central bank, Pan Gongsheng, has made it clear that the country will not tolerate speculation associated with cryptocurrency transactions. The People’s Bank of China plans to crack down on illegal financial activities and fundraising, as well as curb domestic virtual currency speculation. This move is part of China’s efforts to maintain stability in its financial markets and prevent hidden financial risks. With the government’s ongoing crackdown on crypto-related activities and the promotion of its own digital currency, it is evident that China is taking a tough stance on cryptocurrencies.
By
By
By
By