New rules require China’s bitcoin exchanges to verify customer identity

Bitcoin exchanges in China may soon be required to identify their clients.

The People’s Bank of China (PBoC) recently circulated new guidelines, which would subject domestic bitcoin exchanges to current banking and anti-money laundering laws. In addition, the exchanges would also be required to collect information to identify their clients, The Wall Street Journal reported, quoting people familiar with the matter.

If enacted, the rules would require exchanges to install systems that will collect customer information and report suspicious trading activities to authorities. The PBoC will be in charge of handling any violation, according to the report.

The new guidelines is the latest action taken by the Chinese central bank as it cracks down on the country’s digital currency sector.