China Tightens Online Marketing Rules for Financial Products, Labels Crypto Illegal Finance

Uk Jin

Summary

Eight Chinese government agencies, including the People’s Bank of China, released the Measures for the Administration of Online Marketing of Financial Products, which will take effect on Sept. 30.
The move means online marketing of financial products will be limited to licensed institutions and relevant platforms.
Chinese authorities said the issuance and trading of virtual assets will be classified as illegal financial activity, with related promotion banned outright.

Forecast Trend Report by Period

Chinese authorities have issued unified rules for the online marketing of financial products. The measures again classify virtual asset, or cryptocurrency, issuance and trading as illegal financial activity and ban all related promotion.

On April 24, eight government agencies, including the People’s Bank of China, jointly released the Measures for the Administration of Online Marketing of Financial Products. The rules will take effect on Sept. 30. The move is aimed at regulating the online promotion and sale of financial products.

Under the rules, online marketing of financial products will be limited to licensed institutions and relevant platforms.

The authorities also reaffirmed that virtual asset issuance and trading fall within the scope of illegal financial activity. That means promotional activities related to virtual asset services by institutions and individuals will be fully banned.