The People's Bank of China and seven other departments issue a notice on further preventing and addressing risks related to virtual currencies and other issues

Odaily Planet Daily reports that the People’s Bank of China and seven other departments have issued a notice on further preventing and addressing risks related to virtual currencies. The notice states: Activities related to virtual currencies are considered illegal financial activities. Conducting legal currency and virtual currency exchange services within the territory, virtual currency-to-virtual currency exchange, buying and selling virtual currencies as a central counterparty, providing information intermediary and pricing services for virtual currency transactions, token issuance and financing, and trading of virtual currency-related financial products—all such activities are suspected of illegal issuance of tokens or securities, unauthorized public issuance of securities, illegal securities and futures business, illegal fundraising, etc., and are strictly prohibited and to be resolutely shut down according to law. Overseas entities and individuals are not allowed to illegally provide virtual currency-related services to domestic entities in any form. Stablecoins pegged to legal currency have, in circulation, covertly performed some functions of legal currency. Without the approval of relevant authorities in accordance with laws and regulations, no domestic or foreign entity or individual is allowed to issue stablecoins pegged to the Renminbi outside the territory. Without the approval of relevant authorities in accordance with laws and regulations, domestic entities and their controlled overseas entities are not allowed to issue virtual currencies outside the territory.