Guangzhou district bans events connected to cryptocurrencies

Events promoting cryptocurrencies are banned in the Guangzhou Development District in South China’s Guangdong Province, according to a report from domestic financial news site nbd. com, in a new development of China’s tightening crackdown on illegal cryptocurrency activities.

The ban on cryptocurrency-related activities was the second in China, following Beijing’s Chaoyang district’s order on August 22 that banned any mall, hotel, office or public space from holding events promoting cryptocurrency-related activities.

On Friday, a notice by several government departments including the People’s Bank of China, the central bank, warned about the danger of financial scams using fraudulent claims involving blockchain and digital assets to illegally raise funds.

Cryptocurrency-related content was blocked or deleted from Chinese internet platforms such as WeChat and the Baidu forums.

Last week also saw the closure of several domestic websites that provided cryptocurrency news after they were found to engage in initial coin offerings, a practice banned in China since 2017.

The promotion ban aims to protect the financial interests of the public, ensure the legal status of the yuan, prevent money-laundering and maintain the stability of the financial system, said the official statement by the Guangzhou Development District.