/regulation & compliance

News and resources on regulation, compliance, legal and governance issues for banks and fintechs.

China central bank closes software firm for crypto trading

A Beijing-based software firm has been closed down by China's central bank because of its suspected involvement with crypto trading.

Be the first to comment

China central bank closes software firm for crypto trading

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

The software firm, Beijng Qudai Cultural Development, was ordered to suspend operations and deactivate its website.

A statement from the People's Bank of China added that companies in Beijing are prohibited from providing venues, commercial displays or advertising for cryptocurrency-related businesses. 

The move comes amid a clampdown from Chinese authorities on tech firms as well as crypto companies. In recent days, the Cyberspace Administration of China has targeted US-listed tech companies for alleged violations of China's national security and cyber security laws.

One of these is the ride-hailing app Didi Chuxing while others include online recruitment firm Boss Zhipin and truck-hailing app Full Truck Alliance. 

The move against Didi, which saw it removed from Chinese app stores, came just days after the firm listed on the New York Stock Exchange and raised $4.4bn, the biggest IPO involving a Chinese company since Alibaba in 2014. 

Didi’s shares fell by more than 5% following the news, as did the shares of one of its biggest investors - Japan's SoftBank. 

Sponsored [Webinar] Payment Scams and Fraud: Changing Bank Behaviour and Regulatory Frameworks

Comments: (0)

[Webinar] Reimagine Banking: How to effectively modernise your core and de-risk at the same timeFinextra Promoted[Webinar] Reimagine Banking: How to effectively modernise your core and de-risk at the same time