China, in a landmark announcement, declared all cryptocurrency transactions to be illegal in the future. People’s Bank of China announced this to ensure the protection of people’s properties and the continuation of financial, social, and economic order.

The bank also said that this will uproot illegal cryptocurrency trading. But this news hurt cryptocurrency exchanges trading within the country. This is because, as more than ten government authorities will work on creating a high-pressure environment for these traders.

The PBOC strictly said that no cryptocurrency trading will be allowed within the mainland. App financial institutions should follow this rule. This is a further extension of the rule put forward during May, to put a stop to cryptocurrency usage.

Bitcoin dropped down to $42,2167 after we heard this news. This has affected other cryptocurrencies as well, especially cryptocurrencies. The gray area makes it difficult for cryptocurrency traders to maneuver, which led to a massive decline in sales and shares.