The People’s Bank of China’s meeting came after China’s State Council, or cabinet, last month said it would tighten restrictions on bitcoin trading and mining. Beijing has sharply ratcheted up its campaign in the last few weeks. read more

The PBOC urged institutions at the meeting to launch thorough checks on clients’ accounts to identify those involved in cryptocurrency transactions, and promptly cut their payment channels. It did not mention when the meeting was held.

“Speculative trading in virtual currencies roils economic and financial order, spawns the risks of criminal activities such as illegal asset transfers and money laundering, and endangers people’s wealth,” the PBOC said in a statement.

Other participants in the PBOC’s meeting included state-owned lenders Industrial and Commercial Bank of China (ICBC), Agricultural Bank of China (AgBank), and Postal Savings Bank of China.

Bitcoin’s bull run globally had revived speculative trading in China, where people buy cryptocurrencies using yuan via bank accounts or payment platforms.

Last month, three industry associations issued a ban on crypto-related financial services, but the bodies are much less powerful than the PBOC. read more

The PBOC said its recent meeting with financial institutions was aimed at fully implementing State Council’s crypto ban.

Bitcoin tumbled almost 10% on Monday, with market players citing jitters over China’s expanding crackdown on bitcoin mining in thin liquidity for the losses. It was last down 8.3%, on course for its biggest daily drop in a month. read more

KNOW YOUR CUSTOMER

The PBOC asked banks and payment companies to invest more in technologies used to better identify crypto-related transactions, and know their customers better, the central bank statement said.

After the central bank’s notice, AgBank, ICBC, CCB and Alipay vowed to execute what they were told to do.