Sending shockwaves across the cryptocurrency industry, the Chinese central bank on Friday ruled against all crypto-related transactions and deemed them illegal. According to a Bloomberg report, a Q&A statement on the People's Bank of China (PBOC) website said all cryptocurrency trading must be banned.

"Virtual currency-related business activities are illegal financial activities," the People's Bank of China said in an online statement, adding that it "seriously endangers the safety of people's assets."


The Chinese central bank further added that all kinds of cryptocurrencies, including Bitcoin and Tether are not "fiat" currencies, hence must be banned from circulation in the market. it added that financial institutes and internet companies from facilitating crypto trading, Reuters reported.