China's Bitcoin Crackdown Has Some Stocks Taking a Beating TooBloomberg News
The Chinese government’s clampdown on cryptocurrencies has not only sent bitcoin tumbling, it’s also hitting the shares of related companies.
Hong Kong-listed PC Partner Group Ltd., which makes graphics cards used in bitcoin mining, has tumbled 27 percent since China’s central bank declared initial coin offerings illegal earlier this month. On the mainland, Shenzhen-based Ysstech Info-tech Co. and Beijing’s Global Infotech Co. -- which both have links to blockchain technology -- have retreated at least 5 percent.
Bloomberg News reported Friday that Beijing had notified regional regulators of plans to stop exchange trading of cryptocurrencies by the end of September, citing a person familiar with the matter. It came after BTC China, one of the nation’s biggest digital currency venues, said it would stop handling trades by month-end.
Bitcoin was headed for a sixth day of losses Friday, the longest slide since November 2014.
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— With assistance by Philip Glamann, and Amanda Wang