China central bank urges tougher crackdown on cryptocurrencies

China central bank urges tougher crackdown on cryptocurrencies

China's central bank said on Monday it had summoned some banks and payment institutions recently, urging them to crack down harder on cryptocurrency trading. The People's Bank of China's meeting with institutions including Agricultural Bank of China (AgBank) and Alipay came after China's State Council, or cabinet, last month vowed to crack down on bitcoin trading and mining. The PBOC urged institutions to launch thorough checks on clients' accounts to identify those involved in cryptocurrency transactions, and promptly cut their payment channels. "Speculative trading in virtual currencies roils economic and financial order, spawns the risks of criminal activities such as illegal asset transfers and money laundering, and endangers people's wealth,“ the PBOC said in a statement. Other participants in the PBOC's meeting included state-owned China Construction Bank (CCB), Industrial and Commercial Bank of China (ICBC) and Postal Savings Bank of China. Bitcoin's bull run globally had revived speculative trading in China, where people buy cryptocurrencies using yuan via bank accounts or payment platforms. Last month, three industry associations issued a ban on crypto-related financial services, but the bodies are much less powerful than the PBOC. The PBOC asked banks and payment companies to invest more in technologies used to better