China, known for its strict ban on Bitcoin (BTC) and cryptocurrency, is considering introducing a new ban.
At this point, news from China’s local communications agency Caixin said the Chinese government is reporting to restrict stubcoin and cryptocurrency businesses in Hong Kong’s internet giants, central state businesses and state financial institutions.
These bans were said to require that these entities prioritize actual economic development. Beijing has directed these entities to prioritize real-world economic development over virtual asset ventures.
According to Caixin, the Chinese government has banned Hong Kong’s major state-owned high-tech companies from operating in the cryptocurrency sector.
“Large Chinese Internet companies may withdraw from cryptocurrency-related companies (Hong Kong). Many central banks and Hong Kong branches of Chinese banks may be excluded from continuing applications for Hong Kong’s Stabrecoin licenses.”
As is known, Hong Kong began full-scale adoption of Stablecoins last month by enacting Stablecoin regulations.
China’s largest state-owned bank, China’s Industrial and Commercial Bank (ICBC), has also applied to Hong Kong authorities for a license issued to Hong Kong through its Hong Kong branch.
*This is not investment advice.
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