China applies tougher measures against cryptocurrencies

China announced the tightening of measures against cryptocurrencies, which continues with its policy of considering them illegal as established in September of last year.

In updating its laws, it is highlighted that raising funds using digital currencies will be considered an illegal act, as indicated by the Supreme People’s Court of China in an official statement.

Penalties will depend on the amount collected. A figure greater than approximately 150 dollars will be considered a large amount, while if it exceeds 8 million dollars, the stipulated penalty is 10 years in prison, as it is a serious offense. As for the economic sanction, this could reach 80,000 dollars according to some initial estimates, but the most severe of the penalties is undoubtedly imprisonment.

Last year, the Chinese central bank declared illegal any activity related to virtual currencies, both transactions between companies and individuals, even affecting their advertising.

Despite all this, the Chinese government maintains its north in investing in its own digital currency, the digital yuan, with which it intends to create a centralized business model that provides total control of the cryptocurrency market in China.

K. Tovar

Source: Cointelegraph