While more and more nations around the world relax their policies toward cryptocurrency, China – despite being possibly the biggest single crypto market – has recently escalated its program of systematic eradication of digital currency, most recently by encouraging major corporations to shun the likes of Bitcoin. Baidu, TenCent and Alibaba are just the latest major companies to fall into line with Beijing.
According to a report published this week by the South China Morning Post, Baidu, China’s largest search engine, has joined forces with consortium TenCent and online retail juggernaut Alibaba to impose new tough anti-cryptocurrency measures, in line with an agenda put forward by Beijing.
Baidu, Alibaba and TenCent Align Themselves With Crypto Ban
Baidu – Asia’s largest search engine, considered China’s equivalent of Google – recently closed down at least two of the most popular chat forums in China related to cryptocurrencies. In doing so Baidu informed users that their actions were in accordance with policies, laws and relevant regulations suggested by the Chinese government.
TenCent is the consortium behind China’s no.1 social networking platform WeChat. They have also issued a statement announcing their own veto on cryptocurrency trading, saying they will monitor daily transactions in real time and block all crypto-related transactions accordingly.
Likewise, Alibaba, an electronic retail giant whose subsidiaries include Ant Financial and Alipay, commented that it would permanently restrict all accounts that are involved in cryptocurrency trading.
Beijing Continues Systematic Crypto Eradication
The announcements made this week by Baidu, Alibaba and TenCent are in line with the high-profile, reinforced anti-cryptocurrency measures issued by the Chinese government last week. These measures include the outlawing of any event-venue looking to stage conferences related to cryptocurrencies in the Chaoyang district of Beijing.
Additionally, Beijing announced it was clamping down on so-called legal loopholes where Chinese investors may be exposed to cryptocurrency trading and Initial Coin Offerings (ICOs) via communication channels.
In 2017, China announced that digital currency exchange platforms were illegal and interactions with said exchanges were outlawed.
China Expecting India To Fall Into Line
The likes of Baidu, Alibaba and WeChat are also very popular in India, and Beijing is hoping that India will carry out similar actions against any crypto-based involvement on these sites within their borders.
However, the Supreme Court of India announced it was not yet giving a definitive answer on the subject of following China’s example and banning cryptocurrency.
WeChat have proceeded to block several important accounts related to blockchain technology and crypto, such as Houbi News, Depchain, CoinDaily, among others, online platforms accused of increasing curiosity about cryptocurrencies.
On August 24, Alipay announced that it would block user accounts that use its network to perform transactions in Bitcoin, and that it would establish a system of inspections for some websites and accounts. Ant Financial also commented that it would conduct a risk prevention program to educate users about the dangers of cryptocurrency advertising.
Finally, the People’s Bank of China would have issued a warning stating that it hand out harsh penalties against illegal ICOs. These new measures would also seek to eradicate all payment channels currently using cryptocurrencies.