Bitcoin tumbles 11.4%, China make it illegal

 

Crypto currency Bitcoin nosedives 11.4 per cent since July 2017 to £ 3, 331.22 ($4, 326.75) and one point the crypto currency was down over 16 per cent, as China’s Central Bank, PBOC declares initial coin offerings and all related fundraising activity to be illegal. Issuing the strongest regulatory challenge so far to the burgeoning market for digital token sales.

The People’s Bank of China said “it had completed investigations into ICOs, and will strictly punish offerings in the future while penalising legal violations in ones already completed and those who have already raised money must provide refunds”.

Digital token financing and trading platforms are prohibited from doing conversions of coins with currencies, as digital tokens can’t be used as currency on the market and banks are forbidden from offering services to initial coin offerings.