China Will Act on Cryptocurrency Trading Loophole

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China will adopt additional measures by blocking the access to offshore cryptocurrency exchanges, after also restricting the access to domestic exchanges. Bloomberg released a statement on February 27th detailing the story.

Bloomberg’s sources, who demanded to remain anonymous, said “Regulators are planning to scrutinize the Chinese bank and online-payment accounts of businesses and individuals suspected of facilitating trades on offshore cryptocurrency venues”, adding that “The accounts’ owners could have their assets frozen or be blocked from the domestic financial system.”

While China was once one of the largest market in the cryptocurrency industry, the efforts of the government to discourage its population to get into digital currencies have done wonders to kill the excitement that was present one year ago.

The new measures are designed to cut-off the last pathway for the Chinese population to buy, sell and exchange cryptocurrencies.

The magazine’s sources also stated;

“To get around the crackdown, some firms opened offshore platforms that enable Chinese citizens to buy cryptocurrencies via local bank and online-payment accounts. It’s unclear which of these platforms have been targeted by authorities, or how much money is flowing through them.

None of this information has been confirmed by Chinese officials.

The People’s Bank of China did not respond to Bloomberg’s request for an interview.

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