China Cracks Down, on Cryptocurrency, Declares All Transactions Illegal.<br />The move by China's central bank has essentially <br />banned unregulated digital currency such as Bitcoin.<br />"Virtual currency-related business <br />activities are illegal financial activities.", The People's Bank of China warned that crypto, "seriously endangers the safety of people's assets.".<br />The BBC notes that China is one of the world's <br />largest cryptocurrency markets.<br />In the wake of the announcement, <br />the price of Bitcoin fell by over $2,000. .<br />It is the latest measure in China's massive crackdown on the unregulated crypto market.<br />The country already banned trading cryptocurrency in 2019, but it has continued <br />online through foreign exchanges.<br />In May, Chinese government officials vowed <br />to increase pressure on the industry.<br />In June, it told banks and payment platforms <br />to stop facilitating transactions and <br />issued bans on "mining" the currencies.<br />In June, it told banks and payment platforms <br />to stop facilitating transactions and <br />issued bans on "mining" the currencies.<br />According to the BBC, the most recent announcement <br />makes clear that those who are involved in, "illegal financial activities", are committing a crime and will be prosecuted.<br />The statement also said that foreign websites <br />providing such services to Chinese citizens online <br />would be considered an illegal activity.<br />In September 2019, China accounted for 75% <br />of the world's Bitcoin energy use. <br />By April 2021, it was responsible for 46%
