On September 5, Sina Weibo, one of China’s most popular social media platforms boasting over 258 million daily active users, announced the closure of 80 crypto influencer accounts that were actively endorsing cryptocurrency activities. This move aligns with official legislation aimed at regulating the cryptocurrency space.
80 Influencer Accounts Removed in Ongoing Suppression of Crypto Content
Weibo’s announcement revealed that these 80 crypto influencer accounts collectively had an astounding 8 million followers. However, they were not taken down arbitrarily. Rather, they were found to be in violation of eight distinct regulations encompassing telecommunications, finance, banking, online marketing, securities, exchanges, and internet safety.
These accounts played a significant role in promoting cryptocurrencies. Notably, their removal is part of an ongoing effort to maintain regulatory compliance.
The crypto community on Weibo has been under scrutiny ever since China initiated a cryptocurrency ban in September 2021. In March of this year, Weibo took action against 131 accounts linked to crypto and stock trading activities. This further set the precedent for more stringent regulation.
Massive Crackdown in August 2022
One of the most significant crackdowns occurred in August 2022. This was when the Cyberspace Administration of China (CAC) made a sweeping move. They removed a staggering 12,000 influencer accounts on both Weibo and Baidu, which were linked to cryptocurrencies, and also deleted 51,000 related promotional posts.
Furthermore, the CAC clarified its stance, stating that the objective was to protect citizens’ property safety in accordance with the law. They aimed to encourage netizens to develop sound investment practices, enhance risk awareness, avoid speculative cryptocurrency trading, and safeguard personal financial interests.
Weibo’s Commitment to Compliance and China’s Ongoing Efforts
Weibo, in line with this broader regulatory landscape, expressed its commitment to curbing illegal securities activities on its platform. They emphasized the strict control of any violations of laws and regulations, underscoring their unwavering stance against such activities.
China’s increased scrutiny of private crypto-related activities stems from concerns about capital flight, money laundering, and the desire to strengthen state-controlled cryptocurrency initiatives. It’s worth noting that some of these regulatory measures may inadvertently impact non-Chinese investors. Further, highlighting the global repercussions of China’s cryptocurrency policies.
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