China's internet watchdog cracks down on false financial claims and stock touting online
cybersecurity watchdog , in coordination with financial regulators, has shut down over a dozen social media accounts for spreading false financial information, illegally touting stocks, and promoting speculative cryptocurrency trading.
The Cyberspace Administration of China (CAC) said on Saturday that the accounts had operated on China's most popular social media platforms, including Weibo, Douyin, RedNote and WeChat.
The CAC said some accounts had spread false or misleading information about the capital markets, while others had lured investors into paid groups with provocative claims, illegally touting certain stocks as guaranteed wins.
Some accounts also encouraged
cryptocurrency trading or incited consumers to take illegal actions such as resisting debt collection or using unlawful tactics to claim full insurance refunds, it added.
The crackdown comes amid growing concern over so-called financial influencers, many of whom use sensationalist headlines and questionable claims to attract followers. Authorities say these accounts mislead investors and disrupt the market.
'The public should invest wisely, stay alert to risks, avoid spreading rumours, and steer clear of illegal financial activities,' the CAC said, vowing it would continue to intensify its clean-up efforts.
China had more than 220 million individual investors at the end of last year, according to the China Securities Depository and Clearing Corporation.
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