Cryptocurrency exchanges scramble to drop Chinese users after Beijing’s ban

SHANGHAI (CNA) – Beijing’s new blanket ban on all cryptocurrency trading and mining – the broadest yet by a major economy – has sent crypto exchanges and service providers scrambling to sever business ties with mainland Chinese clients.

Shares in a range of Chinese crypto-related firms plunged on the ban, which closes off loopholes left in previous regulatory crackdowns on the sector.

Industry executives noted, however, that many companies had already shifted key portions of their business outside China.

Ten powerful Chinese government bodies said in a joint statement on Friday that overseas exchanges were barred from providing services to mainland investors via the Internet – a previously grey area – and vowed to jointly root out “illegal” cryptocurrency activities.

A woman uses her smartphone in front of a billboard depicting office workers at a subway station in Beijing. PHOTO: AP