China warns unlicensed online brokerages of breaking the law

SHANGHAI: Online brokerages not licensed in China are conducting illegal businesses if they serve Chinese clients via the Internet, a Chinese central banker said, in the first official comment on recent reports flagging regulatory risks facing firms such as United States-listed Futu Holding and UP Fintech Holding.

“Cross-border online brokerages are driving in China without a driver’s licence. They’re conducting illegal financial activities,” Sun Tianqi, head of the Financial Stability Department of the People’s Bank of China (PBoC) said in a speech, according to a transcript released.