In order to help the public understand the investment risks and protect their legitimate rights and interests, the Association warned about the risks: domestic institutions engage in the trading of foreign exchange, precious metals, futures, indexes and other products (including cross-border) through various network platforms such as Internet websites, mobile communication terminals and application software without the approval of the financial supervision department of China, while overseas institutions provide foreign exchange, precious metals and futures to China through various network platforms such as Internet websites, mobile communication terminals and application software.
At present, there is no legal basis for setting up an online platform (including cross-border) for leveraged trading of foreign exchange and precious metals in China, and the financial supervision department has never approved it. The online platforms for the above-mentioned trading business are all illegally established, and the rights and interests of both parties to such platforms are not protected by law. Therefore, the investment activities of such platforms face greater risks. All kinds of financial institutions and payment institutions engaged in Internet finance business shall strictly abide by national financial laws and regulations and shall not provide services for such illegal financial transactions.