The People's Bank of China held a meeting to crack down on speculation in virtual currency trading, emphasizing the risks of stablecoins.

Odaily Planet Daily reports that the People's Bank of China convened a meeting on November 28th to coordinate efforts to combat speculation and trading in virtual currencies. Officials from the Ministry of Public Security, the Cyberspace Administration of China, the Supreme People's Court, and the Supreme People's Procuratorate attended the meeting. The meeting noted a recent resurgence of speculation and trading in virtual currencies, with related illegal and criminal activities occurring frequently. The meeting reiterated that virtual currencies lack legal tender status and specifically pointed out that stablecoins, as a form of virtual currency, currently cannot effectively meet customer identification and anti-money laundering requirements, posing risks such as being used for money laundering and illegal cross-border fund transfers. All departments will continue to adhere to the "prohibitory policy" towards virtual currencies, focusing on information and capital flows, and will continue to severely crack down on related illegal financial activities.