China murders ‘Cat Coin’ company, mounts head in latest crypto warning
China’s central bank has forced a local software company to close for good over alleged ties to crypto trading and a token called Cat Coin.
The People’s Bank of China (PBoC) ordered Beijing-based Qudao Cultural Development to shutdown as part of Beijin’s wider crackdown on the crypto ecosystem, according to a statement.
As noted by Decrypt, local reporter Colin Wu said the company had its own crypto “Mao Li Coin,” which translates to Cat Coin. The firm’s website is now reportedly offline.
Protos has been unable to find any market data for Cat Coin.
PBoC used the incident to urge others away from working with cryptocurrency.
“We solemnly warn relevant institutions within our jurisdiction not to provide business premises, commercial display, marketing, and paid diversion services for virtual currency-related business activities,” read the statement.
“Personal bank accounts should be cherished and not used [to buy or sell cryptocurrency].”
‘Cat Coin’ casualty of Beijing’s anti-crypto tear
Cat Coin aside, Beijing also banned crypto mining across the country in June. The government cited a need to protect local investors from crypto markets and the environment.
Southwest regions Inner Mongolia, Xinjiang, Sichuan, and Yunnan had served as major Bitcoin mining hubs due to abundant and cheap renewable energy.
Some of the world’s largest Bitcoin operations were housed there but shut down to avoid repercussions.
Bitcoin’s overall hashrate halved as a result.
[Read more: Texas lures Bitcoin miners from China despite failing energy grid]
One month earlier, Beijing moved to clampdown on over-the-counter (OTC) crypto trading, forcing ‘OTC King’ and former Bitcoin billionaire Zhao Dong to front court.
Authorities accused the Bitfinex shareholder of laundering $480 million worth of crypto for international gambling outfits.
Zhao was tried alongside 11 others who were allegedly part of the gambling syndicate. He was expected to be sentenced to up to three years’ prison.
Prefer to listen to your news? The Protos Podcast delivers the week’s top stories every Friday.