China’s top internet watchdog, together with financial regulators, has shut down more than a dozen social media accounts for spreading false financial information, illegally promoting stocks, and encouraging speculative cryptocurrency trading. The Cyberspace Administration of China (CAC) announced the crackdown on Saturday.
These accounts were active on China’s most popular social media platforms, including Weibo, Douyin, RedNote, and WeChat. Some accounts shared false or misleading information about the country’s capital markets, causing confusion and risking investor losses. Others attracted users into paid groups where certain stocks were illegally touted as guaranteed winners, misleading ordinary investors.
The crackdown also targeted accounts promoting speculative cryptocurrency trading without proper warnings. China maintains strict rules on cryptocurrency to protect investors from scams and fraud. The CAC worked in coordination with financial authorities to identify and close these accounts, showing the government’s effort to maintain market order and protect investors.
False financial claims and illegal stock promotions online can cause major harm to investors by encouraging risky bets based on wrong or exaggerated information. China’s rules require only licensed firms to provide investment advice, and social media platforms must not allow rumors or false claims about stocks or cryptocurrencies.
This action is part of ongoing monitoring by the CAC, which regularly looks for online violations to keep China’s financial markets stable and trustworthy. Social media platforms like Weibo, Douyin, RedNote, and WeChat have been urged to strengthen their content controls to prevent the spread of false financial information and illegal promotions.
Investors are advised to be cautious about financial information on social media and to verify news through official sources or licensed advisors. This crackdown is a clear sign that Chinese regulators are serious about protecting investors and improving transparency in the online financial market.
