As per the policy revision, merchants may not engage in illegal transactions including virtual currency trading or token issuing, alongside other banned payment outlets, such as pornography or online gambling. The new rule is meant to come into effect on 31 May.
As China has particularly stringent rules when it comes to cryptocurrency, with exchanges banned in the country, WeChat may have succumbed to government pressure. The company is a channel for over-the-counter (OTC) transactions in China, which means that the policy-change could strain liquidity pool in the region.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now