Central Bank: 173 domestic virtual currency trading platforms exit without risk

Original title: Big news! The central bank: 173 domestic virtual currency trading and token issuance financing platforms have exited without risk

The central bank's website announced on November 25 that the People's Bank of China recently released the "China Financial Stability Report (2019)", which comprehensively evaluated the stability of my country's financial system since 2018. The report data shows that since 2018, the financial system has conscientiously implemented the decisions and arrangements of the Party Central Committee and the State Council, and has achieved positive results. All 173 domestic virtual currency trading and token issuance and financing platforms have achieved risk-free exits.

The People's Bank of China's 2019 China Financial Stability Report shows that since the special rectification of Internet financial risks was launched, the number of online lending institutions has been reduced from 5,000 to 1,490, and all 173 domestic virtual currency trading and token issuance and financing platforms have exited without risk.

In terms of special rectification work in the non-bank payment service market, we strictly supervised licensed institutions, established the National Internet Payment System (NIPS) platform, carried out the "disconnection of direct connections" work, and successfully completed the centralized deposit of payment institutions' customer reserve funds as planned; we continued to crack down on unlicensed payment business operations. As of June 2019, a total of 389 unlicensed institutions had been cleared and disposed of, of which 69 were transferred to the public security, industrial and commercial and other departments.

At the same time, we will continue to crack down on illegal fundraising activities and promptly investigate and deal with major cases.

As of the end of April 2019, a total of 282 Internet asset management institutions were found, of which 202 institutions were cleared, 47 institutions that had ceased operations and lost contact had been included in the list of abnormal operations and requested the market supervision department to revoke their business licenses, and 31 institutions had been transferred to the public security department and the illegal fundraising work mechanism for crackdown and elimination. Fourth, the cleanup and rectification of various trading venues was steadily promoted. The momentum of illegal and irregular trading venues, disorderly expansion, and risk spread was effectively curbed, the market order improved significantly, and the regulatory system for trading venues was gradually improved.

The central bank's announcement also quickly attracted the attention of market participants. Zhang Yifeng, director of the China Banknote Blockchain Technology Research Institute, told a reporter from 21st Century Business Herald on November 25, "This is to be expected. The central government attaches importance to the development and application of blockchain technology, but it does not mean that it supports the trading of virtual currencies and illegal financial activities under the banner of blockchain. The development and application of blockchain technology, in the final analysis, must return to supporting real economic activities, moving from virtual to real, and investing in solving real problems."

Many people from blockchain companies hold a similar attitude: "Blockchain is a technology, and virtual currencies under the guise of blockchain should have been rectified long ago."

Editor in charge: Guo Jian