Published on September 13th, 2017 | by bitcoin0
Chinese Internet Finance Group Says Bitcoin Exchanges Lack Legal Basis
A self-regulatory association in China focused on digital finance has issued a new warning on cryptocurrency trading activities.
In a statement released today, China’s National Internet Finance Association (NIFA) asserted that cryptocurrencies like bitcoin have become a tool for speculation among investors, while also serving as a payment conduit for illegal fundraising and money laundering.
Although a self-regulatory organization and not a regulatory agency itself, NIFA was first initiated in 2015 by the People’s Bank of China and approved by the State Council.
The notice came days after reports emerged that China’s regulators are reportedly moving toward new restrictions on the country’s cryptocurrency exchanges.
Major exchanges in China, including Huobi, BTCC and OKCoin, still continue operating, while others are exiting the market while citing the regulatory concerns.