China stops cryptocurrencies forbids banks virtual currencies operations - The future of the cryptocurrency industry in China is becoming increasingly black. The government of the Asian country continues its crusade to restrict the use of virtual currencies. The last step taken has been to ask– through the People's Bank of China-major banks not to allow cryptocurrency trading.

In a statement published by the main chinese bank last Monday, June 21, 2021, explained that the entity had met with some banks and payment institutions as the Industrial and Commercial Bank of China, Agricultural Bank of China, the Bank of Construction, the Savings Bank, Postal, Bank Industrial and Alipay Network Technology Co., Ltd.

The objectives of these meetings, explained in the press release, were deployed to fund the decisions and deployments relevant Party's Central Committee and the State Council, as well as the spirit of the 51st plenary meeting of the Financial Committee of the Council of State, in pursuit of “curb speculation with bitcoin and other transactions of criptomonedas, to protect the property of individuals and to maintain the security and stability in financial”.

China stops cryptocurrencies forbids banks virtual currencies

For the Chinese Government, cryptocurrencies and their trading " disrupt the normal economic and financial order, create risks in illegal cross-border transfers of assets, drive money laundering and other illegal and criminal activities.”

For all of the above, they point out, banks and payment institutions should implement warnings about bitcoin risk prevention and announcements about risk prevention by financing in the issuance of tokens. As well as “seriously comply with its obligations to identify customers, not facilitate the opening or registration of related accounts or offer products or services that involve trading, clearing or settlement of cryptocurrencies”.

China stops cryptocurrencies forbids banks virtual currencies

Institutions, they stress “" must thoroughly investigate and identify virtual currency exchanges and traders ' accounts, to cut the payment link of transaction funds in a timely manner. They also need to analyze transaction characteristics in cryptocurrency trading promotion activities, increase technical data, improve abnormal transaction monitoring models and identification capabilities.”

All the organizations interviewed, they claim in the note of the People's Bank of China on cryptocurrencies, “declared that they will attach great importance to this work and, in accordance with the relevant requirements of the People's Bank of China, will not carry out or participate in cryptocurrency-related business activities, further increase research and elimination efforts, and take strict measures to cut off virtual currency advertising activities.”

China stops cryptocurrencies forbids banks virtual currencies

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The merger of Logitravel and Viajes El Corte Inglés gives the distribution giant 80% of the capital

The arrival of the pandemic severely impacted travel agencies. Now, and after many months of minimum income, the agencies are preparing for the return of tourism.

First came the launch of Ávoris Business Corporation, with the integration of the groups Barceló and Globalia, which created the distribution group tour of the most important sector in Spain –with a turnover of eur 4,000 million and 1,500 points of sale–and who has received a state aid of € 320 million.

Now the details are finalized for the merger of Viajes El Corte Inglés (VECI) and the Logitravel Group.

Sources close to the process explain to CincoDías that there is already a pre-agreement on the table for 2 months and ensure that the pact establishes a joint venture in which VECI would have a majority position, between 80% and 85%, and the rest would be in the hands of Logitravel.

In the event that they later decide to take out a third of the company, as they are valuing, these percentages would be modified and VECINO would have a position of control.

Said medium points out that this maneuver would be a way to gain liquidity and would join the sale of real estate and logistics assets(VECI has already put up for sale 500,000 square meters).

On the other hand, and according to CincoDías, the pre-agreement also establishes an expansion plan to Latin America, where the distribution giant has physical points of sale in Argentina, Chile, Colombia, Ecuador, Mexico, Panama, Peru, Dominican Republic and Uruguay.

This merger would be another step on the road to leadership in the sector, although it is not expected to reach pre-crisis figures until, at least, next year. The Spanish Confederation of Travel Agencies (CEAV) estimates that these levels will not be reached until 2024.

Meanwhile, 4,000 Viajes El Corte Inglés employees remain in ERTE until August 31 and have a 6-month employment maintenance clause, which guarantees their job at least until February 28, 2022. The Logitravel Group has laid off around 400 workers since the beginning of the pandemic, 40% of the workforce.

After the merger, the Logitravel brand will not disappear and will continue to work as an OTA specialized in certain holiday products, such as cruises, packages, circuits or large trips.

For its part, VECI will be able to develop its entire online strategy within the general framework of a greater omnichannel presence and its website will work in coordination with the rest of the channels of the matrix.