80 Chinese crypto influencer accounts shut down in latest crackdown

Sina Weibo, one of China's most popular social media apps with over 258 million daily active users, has taken down 80 influencer accounts that were promoting cryptocurrency activities. This move comes as part of the platform's efforts to comply with official legislation.

Weibo removes accounts for breaching regulations

The announcement made on September 5 revealed that Weibo had "proactively removed" 80 crypto influencer accounts, collectively having more than 8 million followers. These accounts were found to be in violation of eight regulations related to telecommunications, finance, banking, online marketing, securities, exchanges, and internet safety, all due to their involvement in promoting cryptocurrencies.

Weibo has been continuously cleaning up crypto-related accounts ever since China imposed a ban on cryptocurrencies in September 2021. Back in March, the platform had already removed 131 accounts that were linked to crypto and stock trading activities.

CAC's major crackdown on crypto influencers

Last August 2022, the Cyberspace Administration of China (CAC) conducted the largest nationwide crackdown, taking down 12,000 influencer accounts on Weibo and Baidu that were associated with cryptocurrencies. Additionally, 51,000 related promotional posts were also deleted. The CAC justified its decision by stating that it aimed to protect people's property safety and to remind netizens to exercise caution and avoid participating in activities related to virtual currency trading.

Weibo's stance on enforcing regulations

Weibo, in support of the CAC's decision, emphasized its commitment to cracking down on illegal securities activities on the platform. They have vowed to strictly control any violations of laws and regulations and have stated that they will not tolerate such behavior.

The reasons behind China's crackdown

China's crackdown on private crypto-related activities started this year due to concerns over capital flight, money laundering, and the need to safeguard its state-run crypto initiatives. However, these efforts have also had unintended consequences for non-Chinese investors who have found themselves caught in the crossfire.