Why are virtual currency trading platforms not allowed in China?

There are mainly the following reasons why China does not allow virtual currency trading platforms:

First, virtual currency trading lacks an effective regulatory mechanism, which can easily lead to market chaos, drastic price fluctuations, trigger financial risks, and threaten financial stability.

Second, virtual currency trading is often used in illegal financial activities, such as money laundering, fraud, illegal fundraising, etc., which seriously disrupt the economic and financial order.

Furthermore, the anonymity of virtual currency and other characteristics make it difficult to track and regulate its transactions, which is not conducive to preventing and combating illegal and criminal activities.

In addition, there is a lot of hype and speculation in the virtual currency market, which poses a great risk to the property safety of investors, especially ordinary people, and may cause them to suffer huge losses.

Finally, from the perspective of national monetary sovereignty and economic security, allowing virtual currency trading platforms to develop may have an adverse impact on the legal currency system and national economic security. #Mt.Gox将启动偿还计划 #美国PCE数据将公布 #币安合约锦标赛