China's PBOC and Seven Agencies Ban Crypto and Unauthorized RWA Tokenization Services

The People's Bank of China and seven other agencies issued a notice on Feb. 6 barring financial institutions and internet companies from providing services related to virtual currencies and real-world asset tokenization without consent. Financial institutions, including non-bank payment providers, must not open accounts, transfer funds, provide clearing and settlement, issue or sell related products, accept such assets as collateral, or conduct insurance business tied to virtual currencies, the notice said. For real-world asset tokenization, financial institutions may not offer custody or settlement services without consent, while intermediaries and IT service providers are prohibited from supporting such activities. Internet companies must not provide online venues, marketing, or paid traffic for virtual currency or unauthorized tokenization activities and must report suspected violations to authorities, who will close related websites, apps, and public accounts based on referrals from financial regulators.