You have permission to edit this article.
Edit
spotlight

China declares all cryptocurrency transactions illegal; Bitcoin tumbles

  • Updated
  • Comments

Sep.24 -- Bitcoin, Ether and other digital tokens tumbled as China intensified its push to rein in crypto speculation and mining. Eddie van der Walt reports on "Bloomberg Surveillance Early Edition."

BEIJING (AP) — China's central bank on Friday declared all transactions involving Bitcoin and other virtual currencies illegal, stepping up a campaign to block use of unofficial digital money.

Friday's notice complained Bitcoin, Ethereum and other digital currencies disrupt the financial system and are used in money-laundering and other crimes.

RECOMMENDED FOR YOU

Keep scrolling for an explainer of Bitcoin and the world of cryptocurrencies

"Virtual currency derivative transactions are all illegal financial activities and are strictly prohibited," the People's Bank of China said on its website.

The price of Bitcoin fell more than 9%, to $41,085, in the hours after the announcement, as did most other crypto tokens. Ethereum skidded almost 10%, falling from $3,100 to around $2,800.

Chinese banks were banned from handling cryptocurrencies in 2013, but the government issued a reminder this year. That reflected official concern cryptocurrency mining and trading might still be going on or the state-run financial system might be indirectly exposed to risks.

Promoters of cryptocurrencies say they allow anonymity and flexibility, but Chinese regulators worry they might weaken the ruling Communist Party's control over the financial system and say they might help to conceal criminal activity.

The People's Bank of China is developing an electronic version of the country's yuan for cashless transactions that can be tracked and controlled by Beijing.

Regulators in other countries have increasingly warned that cryptocurrencies need greater oversight. In the U.S., Gary Gensler, the chairman of the Securities and Exchange Commission, has said that investors need more protection in the cryptocurrency market, which he called "rife with fraud, scams and abuse" and compared to the "Wild West."

The SEC has won dozens of cases against crypto fraudsters, but Gensler says the agency needs Congress to give it more authority and funding to adequately regulate the market.

Shop Talk

What's new in the business community!

If you know of local business openings or closings, please notify us here.

· American Family Care opens urgent care center in the County Line Plaza, off of Route 113 near Souderton, Bucks County

· Charming Charlie, a women's contemporary fashion and accessories retailer, will return to the Outlets at Wind Creek.

. All Weather Selvedge Denim Co. (AW) opens at The Promenade Shops at Saucon Valley in suite 608, next to Evolve Salon & Spa.

· PrimoHoagies, the casual restaurant known for its gourmet hoagies, plans to open two restaurants in Stroudsburg.

. Air Products Chief Financial Officer and Executive Vice President Scott Crocco to retire on September 30, 2021 after 31 years with the company. Melissa Schaeffer will succeed him

· Laura McLain, executive director of the Slate Belt Chamber of Commerce, will retire at the end of 2021 after 21+ years of service.

· Thomas Ripsam has been named the new CEO of Martin Guitar. He succeeds longtime Chairman and CEO Christian Frederick Martin IV.

. Owners of Tucker Silk Mill to open wine bar and garden in down Easton in early 2022. Kabinett will have a mostly Australian and German wine list, with light fare, and an outdoor patio overlooking the Delaware River.

· Community Action Lehigh Valley promoted Dawn Godshall to executive director and Jessica Reimert to deputy executive director for operations, and hired Jaana Kelley as associate executive director for community services.

· The Trolley Stop diner opened May 29th at 201 S. McCartney Street in Easton

· Bitty & Beau's, a coffee shop that employs people with disabilities, will set up shop at 74 W. Broad St. in Bethlehem.

PPL Corporation named by DiversityInc as one of top utilities in nation for workforce diversity

· Semper Pie, 14 S. Reading Ave. in Boyertown, hosting grand opening with cheesecake and more on May 22. 

· St. Luke’s OB/GYN – Complete Women’s Care, 9 Dave’s Way, in Hamburg, will accept new patients starting May 6. 

· Rolling Hills Recreation mini golf course, 4565 Spring Hill Dr. in Schnecksville, will hold its grand opening May 1.

· The Red Rose Diner, Route 22 in Phillipsburg, has announced that it will close its doors May 2. 

· Pizza D’Oro restaurant on College Hill, Easton reopened on April 21 as Joey D's. The restaurant offers dine-in and takeout options.

· The Da Vinci Science Center announced that Lin Erickson, executive director and CEO, has been named a Take the Lead honoree by the Girl Scouts of Eastern Pennsylvania.

. Deliciously Decorated, 143 S. Main St. in Nazareth, will host a grand opening and ribbon cutting 11:45 a.m. to 1 p.m. May 8.

· Jack Callaghan's is reopening as Cuzin's Pub and Grill at 2027 W. Tilghman St.

. John L. Walsh will retire as President and CEO of UGI Corporation on June 25, 2021. He will continue to serve as a member of UGI's Board of Directors.

. Bru Daddy's Brewing to launch new restaurant, Blended by Bru Daddy's, on downtown Allentown ArtsWalk. Soft opening is planned for May with grand opening in June.

· BSI Corporate Benefits, LLC (BSI) promoted Valerie (Val) Lewis to Chief Operating Officer. The nationwide employee benefits consulting firm executes cost control strategies to manage their clients’ healthcare costs.

. UPMC Health Plan appoints Dr. Amy Meister as chief medical health and wellness officer

· Center for Vision Loss, a nonprofit in the Lehigh Valley and Monroe County, changes name to Sights for Hope

· PPL Corporation names Gregory Dudkin executive vice president and chief operating officer. Stephanie Raymond will succeed him as president of PPL Electric Utilities.

· New Vision Theatres Tilghman Square 8 will become Tilghman Square 8. Its anticipated opening is in April 2021.

.Genesis Bicycles in Easton has been sold to Trek Bicycle. Genesis' retirement sale starts Thursday, April 1

· European Wax Center to open at the Promenade Shops at Saucon Valley in summer 2021

· Split Pine Axe Throwing opens at 627 Hamilton Street in Allentown

· Krave 2 Taste opens new location at the Lehigh Valley Mall, next to Verizon. The frappe and smoothie shop will hold a grand opening event on March 27 from 12-3 p.m.

· First Commonwealth Federal Credit Union appoints James Gagliano as new chief experience officer

· New Bethany Ministries in Bethlehem announced several promotions: Veronne Demesyeux was named Associate Executive Director; Tina Sargent was promoted to Director of Finance and Administration; and Lisa Myers was named Controller.

. PPL Corporation named Best Place to Work for LGBTQ equality on the Human Rights Campaign Foundation's 2021 Corporate Equality Index. It's the fifth consecutive year PPL has earned high marks on the national report

Get up-to-the-minute news sent straight to your device.

Topics

AP News Alerts

Forecast Updates

Breaking News - Regional

Entertainment

Traffic Alerts - not active

WFMZ TRAFFIC UPDATE

Breaking Lehigh Valley only

Breaking Berks Area only

Breaking Traffic

Breaking News - National

News Alerts