China’s internet watchdog cracks down on false financial claims and stock touting online
Top cybersecurity agency shuts down more than a dozen social media accounts amid growing concerns over finance influencers
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.
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.
In a parallel move, short video platform Douyin adjusted its commercial content policies earlier this month, saying creators primarily posting about politics, finance, law or medical topics were no longer eligible for certain paid partnerships.
The platform clarified that bloggers were not banned from publishing content related to these topics, but they would be prohibited from publishing advertisements through the platform’s official ad-publishing system, according to domestic media outlet Yicai.