Summary
- Shenzhen City, China, has reportedly issued a warning on investment scams involving stablecoins and virtual assets.
- Authorities said illegal fundraising, fraud, and money laundering are occurring through false advertisements.
- The warning was issued at a time when discussions about stablecoins are growing in China.
Shenzhen City, China, has issued a warning about investment scams involving stablecoins and virtual assets (cryptocurrencies).
According to The Block on the 7th (local time), the 'Office of the Special Task Force for the Prevention and Crackdown on Illegal Financial Activities' of Shenzhen City stated, "Investment scams using ‘virtual assets’ such as stablecoins are being carried out through exaggerated advertising," and added, "They are attracting funds through false advertisements, and illegal acts such as illegal fundraising, gambling, fraud, and money laundering are occurring in the process."
The media outlet further reported, "Shenzhen's warning comes at a time when discussions on stablecoins are increasing in China," pointing to the growing attention to stablecoins in the Chinese market.
Son Min
sonmin@bloomingbit.ioHello I’m Son Min, a journalist at BloomingBit
