Alibaba, China’s largest online retailer, announced it would stop selling cryptocurrency mining hardware following the crackdown by the Chinese government. The publicly-traded company released a press release stating that the ban applies to all crypto-related software, tutorials, and strategies.
The People’s Bank of China declared that all companies offering trading, token issuance, and derivatives for digital assets were banned. According to the central bank, it aims to “eliminate” hype and eliminate speculation in order to protect the Chinese population against the crypto market.
The ‘Notice to Further Preventing And Disposing Of the Risk of Hype In Virtual Currency Trading’ also stated that all staff working for customer support departments at overseas crypto exchanges in the country will be investigated. Alibaba stated that the measure will be in effect from October 8, 2021.
The platform reminds members about compliance issues when listing products or handling transactions. All members are responsible for adhering to all applicable laws and regulations in any country where they sell products. The online retailer has added.
Categories to be removed from the store
After the Chinese company’s deadline, the ‘Blockchain Mining Accessories’ and the ‘Blockchain miners’ categories will be removed from Alibaba’s website. Alibaba.com warned that penalties will be imposed based on the severity of violations. These include the removal or deletion of products, deduction of points, restriction of website functions, closing accounts, and falsely exaggerating product descriptions.
Other domestic regulators, such as the Cyberspace Administration and the Supreme People’s Court, and the Ministry of Industry and Information Technology, and the Ministry of Public Security and Public Security (MPS), pursued the latest crackdown in the form of a Q&A-style notification.