The People’s Bank of China requires 5 major domestic banks and Alipay not to participate in cryptocurrency business activities
According to a report by the People’s Bank of China (PBOC) – the central bank talked to Chinese banks and payment institutions on the issue of providing services for cryptocurrency transactions by banks and payment institutions.
PBOC requires 5 major China banks and Alipay not to participate in cryptocurrency business activities
Those five banks include Industrial and Commercial Bank of China, Agricultural Bank of China, Construction Bank, Postal Savings Bank of China, Industrial Bank, and Alipay (China) Network Technology Co., Ltd. As for the financial institution mentioned above, Alipay.
All were required to perform their customer identification obligations. In addition, they must not provide products or services such as opening accounts, registration, transaction, clearing and settlement for cryptocurrency related speculations.
“Institutions must comprehensively investigate and identify virtual currency exchanges and over-the-counter dealers’ accounts, and cut off the payment link for transaction funds in a timely manner.” the PBoC said.
In addition, banks and financial institutions are forced to analyze the capital transaction characteristics of cryptocurrency trading hype activities. At the same time, they must increase technical input, improve anomalous transaction monitoring models, and improve monitoring and identification efficiency. Also, improve internal working mechanisms to ensure that relevant monitoring and handling measures are in place.
“All banks and payment institutions must strictly implement the “Notice on Preventing Bitcoin Risks” and “Announcement on Preventing Token Issuance Financing Risks” and other regulatory requirements.”
In the end, the participating organizations stated that they will attach great importance to this work, and in accordance with the relevant requirements of the People’s Bank of China. They will not carry out or participate in cryptocurrency-related business activities, further increase the investigation and disposal efforts, and adopt strict measures to resolutely cut off cryptocurrency transaction hype activities.
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