China Shuts Down Illegal Financial Sites and Accounts

2 mins mins

Key Points:

China tackles illegal financial misinformation with recent crackdowns on accounts.
Accounts involved in capital market falsehoods were closed.
Cryptocurrency speculation accounts targeted in the crackdown.

China’s Cyberspace Administration, alongside financial regulators, targeted illegal financial websites and accounts on May 24, 2025, closing several platforms involved in misinformation and crypto speculation.

The crackdown underscores China’s commitment to regulating financial misinformation and cryptocurrency activity, reflecting ongoing efforts to ensure online market integrity.

Chinese Crackdown: Targeting Misinformation and Crypto Speculation

China’s Cyberspace Administration has targeted illegal financial websites accused of spreading false market information and promoting crypto speculation. Collaborating with financial regulators, the campaign shuttered sites like ‘Love Stocks APP’ and ‘Captain Jack Macro Strategy.’ Illegal recommendations were rampant across identified social media channels. These closures signal government action to clean up potentially misleading or harmful financial discussions online. Platforms like ‘Huo Ge Chats Cryptocurrency’ and others were implicated in inducing users in crypto transactions via group screenshots and profit displays, pinpointing a particular focus on cryptocurrency activities.

By executing this crackdown, the Chinese government is signaling tighter control over online financial narratives, emphasizing investor protection. Websites such as PKEX and HTX were among those affected, serving as channels for indirect trading via overseas exchanges.

Director Wang Wei, Cyberspace Administration of China, ‘This crackdown represents our commitment to maintaining a healthy online financial environment by eliminating false financial claims and stock touting.’

Reactions are widespread, with China’s financial community taking note of the focus on cryptocurrency regulation. This move may indicate the government’s continuing scrutiny over digital asset discussions, as it’s directed at curbing misleading suggestions and increasing public apprehension about the market’s volatility.

Global Impact: Crypto Markets Reeling from China’s Actions

Did you know? Earlier efforts in China restricted cryptocurrency use, significantly impacting trading volumes globally and reshaping the digital asset landscape.

Based on CoinMarketCap data, Ethereum (ETH) currently trades at $2,514.72 with a 24-hour trading volume of $12.37 billion, marking a 1.79% price drop over 24 hours. Over 30 days, the price surged 42.34%. With a market cap of $303.59 billion, it holds 8.94% market dominance and a circulating supply of 120,725,964 ETH.

ethereum-daily-chart-312 — Ethereum(ETH), daily chart, screenshot on CoinMarketCap at 04:51 UTC on May 25, 2025. *Source: CoinMarketCap*

Coincu analysts highlight that these continued regulatory moves in China indicate ongoing pressure on cryptocurrency and related financial discussions. The market’s stability remains a priority, as strict regulations potentially yield more transparent financial interactions online.