China's central bank is probing Solana after event ban
The People's Bank of China has reportedly halted in-person Solana promotions and will investigate the firm, according to Protos citing a Chinese Financial Times report.
The facts
- According to Protos, citing China's Financial Times, a People's Bank of China official said in-person Solana promotional events in the country have been halted.
- The central bank and local regulators will investigate Solana and relevant persons. The report says Solana's activity as a virtual currency provider is illegal under China's 2021 crypto rules.
- Solana cancelled its Shanghai event at the last minute, citing "logistical considerations", while visitors reportedly saw Chinese police arrive.
- Protos puts the Solana price at $90 at the time of writing, down 15% since the event was shut down on October 16.
Case notes · Danny's take
Why it matters
China has been hostile to crypto since 2013, so a probe is not a surprise. The surprise was that Solana tried a public push there at all. Changpeng Zhao noted that Binance has not managed to advertise or open an office in China. Loud marketing in a market that bans your product is a risk, not a growth plan.
For traders
Don't read a 15% drop as proof of cause. Check what else moved over the same window, and whether the probe leads to anything formal. Watch for official statements or named penalties, not social media chatter. If you trade this on headlines, size down.
For builders
If your project has Asian users, learn the rules on offshore services to Chinese residents before you plan events or offices there. Legal review comes before launch parties.
Not financial advice. Do your own investigation.
This story was summarised with AI from Protos's reporting and checked against our editorial policy. Danny's take reflects his views. Disclaimer.
Danny Walter
Founder of Moon Republic, Volt Terminal and Moon Republic Academy. Author of The Market Is a Crime Scene and After the Applause.