Chinese authorities shut down BISS, a local cryptocurrency exchange, and arrested 10 people who suspected of being involved in its operations.
Chinese authorities shut down crypto exchange BISS, arrest 10 people https://t.co/NR9HHmruQ6 — Cointelegraph (@Cointelegraph) November 23, 2019
On November 22, it has been reported by Sohu, a local media, that the actions were undertaken by Chinese authorities. However, the date at which the event itself took place is unclear.
On the same day, Dovey Wan, the founding partner of Primitive Ventures, a blockchain-based investment company, said on Twitter that the local cryptocurrency community had known of the development for two weeks. However, the news was published much later.
BREAKING (which is known in Chinese crypto community for 2 weeks btw the “news” is just out) A Beijing based crypto exchange BISS is arrested by local police (it’s a relatively known up-and-rising exchange) https://t.co/DRyOlyaTpm Over 10 ppl have been arrested — Dovey 以德服人 Wan 🗝 🦖 (@DoveyWan) November 22, 2019
She also claimed that the Beijing-based exchange in question is noteworthy:
“It’s a relatively known up-and-rising exchange.” Dovey Wan
Likewise, on November 18, it has been published in a blog post that BISS addressed user withdrawal issues.
The firm also confirmed that Chinese authorities have halted operations:
“According to market sources, it is understood that BISS’ operations have been halted following an enquiry by China’s regulatory authorities around its services offered to users, which may not be aligned with capital controls regulations in China.”
The company claimed in the announcement that operations had halted while the authorities looked into the case to safeguard user interests. Lastly, BISS also noted that it intends to cooperate fully with Chinese law enforcement.
As it has been reported last week by Cointelegraph, Shenzhen authorities identified a total of 39 exchanges falling afoul of China’s cryptocurrency trading ban.
Thus, the Chinese technology capital of Shenzhen recently issued a warning against illegal activities involving cryptocurrencies, including cryptocurrency exchanges.