Xuanchang, deputy president of the People's Bank of China, said that China will strengthen the regulatory mechanism that is compatible with the digital economy, because new technologies, especially new financial forms, should not be blindly accepted and recognized.It will exacerbate irrational market behavior.
Comprehensive Surging News and Reuters reports that Xuanchang Neng can be said at the round table at the Boao Forum for the 2023 Annual Meeting of the Boao Forum for the 2023 Annual Meeting.At present, the actual operation, emphasizing decentralized cryptocurrencies does not solve the problems of credit currencies.
He continued, and during the cryptocurrency transaction process involved exchanges with legal currencies, leverage transactions, etc., to a large extent control on trading platforms, issuers or traders, and market businessmen.So this itself is a very centralized process, which hides a lot of risks.The periodic fluctuations of cryptocurrencies, micro -credit risks, and mobility risks still exist.
Xuanchang can say that this field lacks effective supervision. It has repeatedly operated market manipulation of fraud, abuse of related transactions, misappropriation of customer assets, or mixed customer assets with their own assets.FTX, Binance and other platforms have been investigated by regulatory authorities in the United States.
In recent years, Chinese regulatory agencies have strengthened the review of the fintech industry to prevent financial risks from explaking.Since the end of 2020, the Chinese government has strengthened the restrictions on the financial sector of online platform companies, and seek balance between financial innovation and security.
Later in 2021, China's regulators banned cryptocurrency transactions and mining because the speculation of cryptocurrencies could disrupt the country's economic and financial order.
