China Shuts Down Software Maker Over Suspected Crypto-Related Activity, Issues Industry-Wide Warning

The People’s Bank of China (PBOC), the country’s central bank, has shut down a software firm over suspected involvement in cryptocurrency transactions. The central bank also warned organizations not to “provide premises, commercial display, advertising … and other services for cryptocurrency-related business activities.”

• China’s central bank warned companies on Tuesday against assisting cryptocurrency-related businesses as it shut down a software firm over suspected involvement in crypto transactions, AFP reported.
• The Beijing office of China’s central bank ordered the closure of a software firm called Beijing Qudao Cultural Development. The central bank alleged that the company had been involved in providing software services for cryptocurrency transactions.
• The central bank claims that the shutdown was necessary “to prevent and control the risk of speculation in virtual currency transactions, and protect the safety of the public’s assets.”
• The bank also warned organizations not to “provide premises, commercial display, advertising … and other services for cryptocurrency-related business activities.”

• The PBOC recently instructed financial and payment institutions not to provide cryptocurrency-related services to customers.
• The announcement came shortly after provinces in China, including Sichuan, Inner Mongolia, and Qinghai, shut down cryptocurrency mining farms, causing miners to move their operations abroad.

What do you think about China shutting down a software firm over suspected involvement in crypto transactions? Let us know in the comments section below.