Bank of China Continues Anti-Crypto Narrative on WeChat

Financial markets are facing their worst crisis since 1929 and people are looking for alternatives to protect themselves from the crash. One option being considered by many is cryptocurrency.

In response, Bank of China has continued its anti-crypto narrative in a long post titled “3.15 Protetion of Financial Consumption Rights and Interests”. The post was published on the bank’s official WeChat account on March 22.

In the post, bank officials warn the public about cryptocurrency investment, calling out the three main scams seen on crypto exchanges. The bank stated:

“First of all, the amount of fraud transactions with bots is serious. The average turnover rate of the top three overseas crypto currency exchanges is much higher than that of foreign licensed exchanges. Second, market manipulation exists in these exchanges where forced leveraged trading eventually causes the exchanges to explode. Third, money laundering is a big issue.”

The Bank of China post also pointed out that the claim that Bitcoin is a safe haven is false, as it is too volatile. The bank urges people to protect themselves from following the crowd by abstaining from crypto investment.

China has never liked cryptocurrency trading

As Cointelegraph reported last year, Alipay banned transactions related to Bitcoin (BTC) and other cryptocurrencies. 

At the beginning of 2018, local authorities started cracking down on market-making platforms and other “exchange-like” services relating to cryptocurrency.

In September 2017, Chinese regulators placed a ban on local cryptocurrency exchanges, and sought to crack down on all domestic cryptocurrency trading.

Bitcoin is resilient

Cointelegraph's analysis on March 21 indicates that Bitcoin was designed for a financial crisis and so far it’s working well.