China’s central bankBank of China (PBOC)” official said in a statement today that US efforts to regulate cryptocurrency have failed. According to the official, this failure dragged into a crisis that also affected the global banking sector. As a matter of fact, the most important details that attracted attention in the statement were the call for stronger regulation of crypto assets to prevent a global financial risk. Here are all the details of the developments.
During a panel at the Boao Forum, Vice President of the People’s Bank of China Xuan Changneng, citing the risks and fraud in crypto for the collapse of two American banks. He believes regulators should consider introducing some rules and regulations before adopting new innovations.
Upgrading “regulatory philosophy, technology and capability” should be the primary goal, according to officials, to ensure financial stability. This will be a critical detail to help adopt financial innovations without affecting financial stability.
According to Bloomberg, Xuan Changneng did not name any US lenders, but crypto- He referred to his friend Silvergate, Signature Bank, and Silicon Valley Bank. But the news suggests that banks are failing as regulators shut down banks without deep discussion. Regulators have closed banks due to sustained rate hikes by the US Fed.
Koinfinans.com As we have reported, the Chinese state has always preferred to take a strict stance towards cryptocurrencies. The PBOC declared initial coin (ICO) offerings illegal in 2017 and restricted crypto trading. Then in 2021, the Chinese government’s aggressive crypto crackdown resulted in a permanent ban on crypto trading and mining.
Liao Min, Vice Minister of Finance of China, underlines that China needs to cooperate and coordinate with other countries to develop a common standard for the crypto industry.
Elon Musk is planning a visit to China in early April. Musk wants to meet with Chinese Premier Li Qiang. However, these talks are not thought to have any connection with crypto.
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