China crypto crackdown: Intensified efforts result in market crash

TL;DR Breakdown People’s Bank of China strictly prohibited all activities related to crypto.The crypto crackdown announcement resulted in a sudden market crash.Bitcoin has fallen by more than 8% and investors are afraid. Central bank officials today talked roughly about the cryptocurrency calling the activities and transactions illegal, which led to a sudden fall in market movements. It also said that it vows a harsh crackdown on the crypto market. China strictly banned all the services offering crypto trading and also prohibited token issuance and derivatives for cryptocurrencies. On its website, the People’s Bank of China also stated that it will not allow any foreign crypto exchange service offerings to domestic residents. The PBOC further added that they will also investigate the activities of foreign exchange workers.  According to PBOC, it has improvised the existing system for a thorough investigation of transactions related to crypto.  Crypto crackdown results in market crash The crypto crackdown by China has brought the whole market down significantly. BTC price sank by over 7%, with the last price at around $41,258 at the time of writing. Ethereum, the largest altcoin, fell 11%, holding above $2,800. This has affected not only the crypto coins but also stock. Many stocks like MicroStrategy and Riot Blockchain collapsed in premarket trading. China has been on cryptocurrencies for a very long time. In the mi...