China’s Central Bank to crack down on crypto trade, cryptocurrencies plunge



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China’s Central Bank to crack down on crypto trade, cryptocurrencies plunge

On Friday, the 22nd of November 2019, the Shanghai headquarter of China’s Central Bank, officially called as the People’s Bank of China, had issued a public statement saying that it would soon launch a sweeping crackdown on cryptocurrency trading activity in the Shanghai municipality, which in effect had started off a havoc-scale sell-off in global cryptocurrency market, while during preparation of the report, at early morning US trading hours, the original crypto, Bitcoin was down by just a notch shy of 10 per cent, Ethereum was trading 11.93 per cent lower, while Litecoin shed 11.83 per cent and Ripple fell by 7.15 per cent.

Meanwhile, the Chinese financial regulators had also raised an alarming bell for the investors adding that the traders should not confuse blockchain activity with cryptocurrency, a majority issuers of which were being capitalized on money laundering activities or a swathe of slanderous offenses ranging from pay offs for drug cartels to weapon sales to human trafficking.

Aside from that, the People’s Bank of China had also added in its Friday’s (November 22nd) statement that any financial involvement with cryptocurrencies or trading of cryptos involved multiple risks, while China’s Central Bank’s remarks regarding a mass-scale crackdown on crypto trading in the municipality of Shanghai had prompted an en masse sell-off in global crypto currency as beforementioned, as Bitcoin was trading about 10 per cent lower to its multi-month low at $6,778.4, while about 85 per cent traders remained net-long for Bitcoin and roughly 94 per cent for Ethereum.