Chinese Crypto Crackdown: Shanghai Municipal Office Bans Crypto App

By Palak Malhotra
Published September 6, 2021 Updated September 6, 2021
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Chinese Crypto Crackdown: Shanghai Municipal Office Bans Crypto App

By Palak Malhotra
Published September 6, 2021 Updated September 6, 2021

The latest development in China’s Crypto Crackdown saw the Chinese international communication office delist Block Eye, the popular Chinese Crypto App. The Shanghai Municipal Administration of Communications announced that all app stores must remove “Block Eye”, after a notice from the People’s Bank of China (PBoC).

Crypto App Banned upon issuance of tokens

Shanghai Municipal Office revealed that the Central Bank highlighted Block Eye’s violation of the nation’s crypto crackdown regulations. It stated that the app facilitates intermediary information for virtual currency transactions. Furthermore, it publicizes crypto transactions by conducting commercial displays, along with marketing for virtual currency-based business activities. This, according to the agency’s announcement is a violation of the crypto norms laid out by the PBoC.

“’Letter on the Request for Disposal of Suspected Virtual Currency Propaganda and Hype Platform’ pointed out that the ‘Block Sky Eye’ app is a virtual currency. The transaction provides information intermediary services, guides virtual currency exchanges, and conducts commercial display and marketing promotion for virtual currency-related business activities, which violates the Announcement on Preventing the Risk of Virtual Currency Transaction Hype and on Preventing the Risk of Token Issuance Financing”, stated the agency issued announced on the ban of Block Eye.

However formerly, Block Eye was an application for users to acquire blockchain companys’ information. But recently, the app issued its own tokens, which according to 8BTCnews became the core cause for its delisting.

China announced the end of Crypto crackdown

Last week, the Chinese Central Bank announced the completion of the nationwide virtual currency transactions crackdown, followed by “normalized supervision” in the nation. According to the ‘China Financial Stability Report’, the Bank revealed that their aim to crackdown cryptocurrency basically reached its end. As the necessary regulatory amendments throughout the country in several digital spheres reach completion, the Central Bank revealed that the supervision will change from crackdown mode to routine operations.

“Online asset management, equity crowdfunding, Internet insurance, virtual currency trading, internet foreign exchange trading, and fields have basically completed the rectification work and have been transferred to normalized supervision.”, stated the People’s Bank of China.

 

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The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
Palak Malhotra
409 Articles
Journalism & Mass Comm. ‘21 graduate, Palak is a GenZ journalist with background in Lifestyle journalism & PR. At CoinGape, Palak is a junior crypto journalist preparing for Web 3.0

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