China's central bank on Friday ruled that all financial transactions involving cryptocurrencies are illegal, the latest in a series of regulatory measures to crack down on crypto trading.
“Virtual currency-related business activities are illegal financial activities," the People's Bank of China said in an online statement, adding that it "seriously endangers the safety of people's assets,” France24 reports.
Following this statement, Bitcoin fell nearly 5%.
According to Daily Sabah, the largest cryptocurrency was last down 4.6% at $42,874, with smaller coins that typically trade in tandem with bitcoin also tumbling. Ether fell over 8% while XRP slipped 7%.
