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Wednesday, 7 May 2014

China Central Bank Warns Banks on Bitcoin

China’s central bank recently summoned senior executives of the country’s major banks, urging them to cut off all bitcoin-related business and hardening its already-tough stance on the virtual currency.


The People’s Bank of China warned the banks they need to set up special groups to monitor accounts that might be conducting bitcoin-related trades and said those that failed to observe its tightened restrictions would be subject to public censure, according to bank officials.


The central bank, which initially took a more neutral position on bitcoin, late last year began shifting its stance out of concern that the virtual currency might be used to skirt capital controls or thwart anti-money-laundering regulations.


More recently the People’s Bank of China has called bitcoin a “tool for speculation.”


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bljworldwide via CHINA US Focus http://ift.tt/SAVB7N

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