China issues tougher measures to keep cracking down on crypto trading

The People's Bank of China has issued a new document where it lays out how it is toughening measures to keep cracking down on crypto trading activities.

The Chinese central bank said in an announcement on Friday that all services that let you exchange fiat currencies and crypto assets or between crypto assets themselves are now treated as illegal activities.

Such treatment will target over-the-counter services that are still available on Huobi, OKEx and Binance, which allow Chinese users to exchange their fiat yuan into crypto assets in order to participate in crypto trading activities.

Further, the notice specified that offering crypto derivative trading services is also an illegal business in China, even for overseas exchanges that make the service accessible to Chinese residents. It remains to be seen, however, if Huobi, OKEx and Binance will discontinue their OTC services.

The PBoC said individuals who live inside China but work for overseas crypto exchanges that making crypto trading available in China are also subject to legal prosecution.