Beijing Mobilizes Agencies for Fresh Crypto Crackdown, Citing Stablecoin Dangers

China’s central bank and a dozen other agencies have pledged to refresh the nationwide suppression of cryptocurrency.

The People’s Bank of China announced the action after identifying a resurgence in “virtual currency speculation.” The bank’s statement left no room for ambiguity, reiterating that cryptocurrencies are not legal tender and all related businesses are illegal.

A significant focus of the renewed crackdown is on stablecoins, which the PBOC alleges are failing compliance standards and enabling serious financial crimes, including fraud and illegal fund transfers.