Shenzhen: Beware of illegal fundraising under the guise of stablecoins and other names.

Gate News bot reported that according to PANews, the Office of the Special Task Force for Preventing and Combating Illegal Financial Activities in Shenzhen has today released a "Risk Reminder on the Vigilance Against Illegal Fundraising in the Name of Stablecoins and Other Means." Recently, digital currencies represented by stablecoins have received widespread attention from the market. Monitoring has revealed that some illegal organizations are absorbing funds through methods such as "financial innovation" and "digital assets," misleading the public's insufficient understanding of stablecoins and similar characteristics, and absorbing funds by issuing so-called "virtual money," "virtual assets," "digital assets," etc., leading the public to participate in trading speculation, disrupting the economic and financial order, and fostering illegal fundraising, gambling, fraud, pyramid schemes, Money Laundering, and other public crimes, seriously harming the economic and financial order and posing a grave threat to the security of social property.

The Shenzhen Special Task Force Office for Preventing and Combating Illegal Financial Activities reminds the public: Such illegal institutions do not have the qualification to publicly solicit public deposits, as they are not legally permitted by the national financial regulatory authorities or violate national financial management regulations. These institutions use new concepts such as stablecoin for speculation, fabricating so-called "virtual money", "virtual assets", "digital assets" and other investment projects, publicly spreading false propaganda and absorbing public funds, breeding illegal fundraising, gambling, fraud, pyramid schemes, money laundering, and other illegal criminal activities.