Three major Chinese banking and finance associations recently issued a directive significantly limiting access to and protection for cryptocurrency in that country. According to a recent report, the restrictions prohibit banks from allowing their customers access to cryptocurrency trading or storage, and prohibit banks from providing insurance to cryptocurrency businesses or investments. The restrictions also reportedly prohibit web platforms from hosting cryptocurrency coin companies and running advertisements for cryptocurrency-related activities.
In Hong Kong, according to recent reports, the government has issued proposals to restrict cryptocurrency exchanges to professional investors, and to require that the exchanges be licensed by the city's market regulator. The current existing rules reportedly provide for an "opt-in" approach pursuant to which exchanges may apply to the Securities and Futures Commission, but they are not required to do so.
Citing power grid concerns, the president of Iran has issued a moratorium on all cryptocurrency mining in the country until late September, according to a recent report. As noted in the report, a combination of authorized and unauthorized miners are utilizing more than 2,000 megawatts of electricity, and the country is experiencing hydropower shortages as a result of an unusually dry spring this year.
For more information, please refer to the following links:
- China all but bans cryptocurrencies
- Hong Kong to restrict crypto exchanges to professional investors
- Iran Bans All Crypto Mining for the Summer: Report
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