China’s drastic closure on cryptocurrencies. In an official note, the central bank of Beijing points out that virtual currencies “do not have the same legal status as legal tender and cannot be distributed on the market as money”. In addition, the note from the People’s Bank of China, exchanges and transactions in virtual currency they are defined as “illegal financial activities and are strictly prohibited”.

The document explains that virtual currencies “have spread by upsetting the economic and financial order, fueling money laundering, illegal fundraising, fraud, pyramid schemes and other illegal and criminal activities.” Ten Chinese government departments are cooperating against the risks associated with cryptocurrencies, including, in addition to the same Pboc, also there Cyberspace Administration – the internet supervisory body – and the Ministry of Public Security, in conjunction with local authorities. The objective, specifies the Chinese central bank, is to “build a system for preventing and eliminating the risks of speculation in virtual currency transactions“And to” severely repress financial activities and criminal activities related to virtual currencies, protect the security of people’s property in accordance with the law and make every effort to maintain economic and financial order and social stability “.

Collective collapse on the financial markets

Following the severe Chinese ban, the prices of bitcoin and other cryptocurrencies are sliding sharply on the global financial markets. Bitcoin went from 45 thousand dollars to 42,100 dollars, with a decline of about 6%, Ethereum loses almost 10% to 2,838 dollars. Losses close to 10% for too Bitcoin Cash, Litecoin and Xrp. The performances of specialized companies in the sector such as Argo blockchain which loses 10% in London, while in the Wall Street premarket CoinBase loses more than 3% e Riot Blockchain 7%.

October 28, 2021 – 11:00

Practical guide to digital transformation: the experiences of Italian managers in command posts

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