Markets Crash After Reports That Binance's Shangai Office Closed in Crypto Crackdown

Chinese authorities have reportedly raided and shut down the Shanghai offices of leading cryptocurrency exchange Binance.

Citing unnamed local sources, The Block says that local police have shut down Binance's offices after raiding the premises.

Binance has not responded to Cointelegraph's requests for comment as of press time.

"Virtual currency transactions in the territory; the other is to issue 'xx coins' and 'xx' in the form of 'blockchain application scenarios.' Currency, fundraising or bitcoin, virtual currency such as Ethereum; third, providing services such as publicity, diversion, agency trading, etc. for registered ICO projects, virtual currency trading platforms, etc."

Binance did not respond when asked by Cointelegraph if the company had received this notice.

In a move of regulatory arbitrage, Binance opened offices in Malta in 2018 as the island nation ramped up its cryptocurrency-friendly regulatory projects.

Last month, rumors abounded that the exchange was opening offices in the Chinese capital of Beijing, despite the country's decidedly anti-cryptocurrency stance.

According to the firm's CEO Changpeng Zhao, offices themselves are an antiquated concept.

In a tweet on Nov. 19, Zhao said, "Office and HQ are old concepts like SMS and MMS. Time is moving on".

Altcoins like Litecoin and EOS are taking a beating with over 9% losses, while Binance's own coin, Binance Coin, is down 10% at press time to trade at $16.58.