China's central bank is preparing an investigation into Solana-related promotional activities following concerns that the blockchain project's recent expansion efforts violated mainland cryptocurrency regulations.
According to a November 9 report from the South China Morning Post, the People's Bank of China (PBOC) plans to investigate companies and individuals involved in Solana's marketing campaigns.
The development follows an October 16 incident in Shanghai, where authorities reportedly intervened to stop a Solana promotional event.
A PBOC-linked publication, Financial News, characterized Solana as a virtual currency issuance platform offering technology used for cryptocurrency trading.
Chinese officials maintain that promoting unauthorized cryptocurrency-related financial services violates existing regulations, regardless of whether the underlying blockchain operates internationally.
Solana's Shanghai Expansion Raises Regulatory Concerns
Solana attracted significant attention in October after promoting its presence in Shanghai, despite China's longstanding restrictions on cryptocurrency activities.
Reports of a commercial office and a prominent Solana advertising display generated speculation about possible changes in Beijing's regulatory approach.
The campaign included an illuminated Solana logo displayed on the Citigroup Tower in Shanghai's Lujiazui financial district.
However, the PBOC has now challenged the legality of those promotional activities, arguing that domestic companies cannot facilitate prohibited cryptocurrency services.
The regulator's concerns focus particularly on local organizations involved in marketing overseas blockchain projects.
Chinese Authorities Shut Down Solana Event
The investigation follows the abrupt cancellation of Solana Accelerate China on October 16, when attendees reportedly encountered law enforcement officers outside the Shanghai venue.
The event was designed to showcase blockchain applications involving artificial intelligence, robotics, emerging technologies and business development.
At the time, Solana Foundation President Lily Liu attributed the postponement to unexpectedly high attendance.
She explained that registrations had quadrupled overnight, exceeding the capacity approved by local authorities.
However, the PBOC subsequently stated that regulators and law enforcement had intervened over cryptocurrency promotion concerns.
The central bank's account suggests that the cancellation involved regulatory enforcement rather than attendance problems alone.
Neither explanation necessarily excludes the other, and authorities have not announced penalties against specific individuals.
China Reinforces Restrictions on Crypto Services
China continues enforcing strict limitations on cryptocurrency trading, issuance and promotional activities within mainland territory.
A February 2026 regulatory notice issued by eight government agencies reinforced restrictions affecting virtual currencies and real-world asset tokenization.
The measures also address overseas companies providing prohibited digital asset services to domestic businesses.
An unnamed PBOC official said authorities would coordinate with local governments to investigate organizations facilitating unauthorized cryptocurrency activity.
The regulator emphasized its intention to maintain financial stability and prevent the promotion of prohibited crypto services.
Importantly, the investigation concerns Solana-related activities and their local organizers, rather than establishing that the blockchain itself has been shut down.
Solana Investigation Challenges China Expansion Plans
The latest regulatory intervention raises questions about opportunities for international blockchain projects in mainland China.
Solana's Shanghai promotional campaign initially encouraged speculation that authorities might be becoming more receptive to public blockchain businesses.
However, the PBOC's response indicates that restrictions on cryptocurrency-related financial activities remain firmly in place.
The investigation could affect future promotional events, partnerships and commercial initiatives involving overseas cryptocurrency projects.
For now, authorities have not identified specific penalties or announced the investigation's completion date.
The Solana Foundation has also not publicly provided a detailed response to the central bank's latest allegations.
The developments reinforce the distinction between China's support for certain blockchain technologies and its continued restrictions on cryptocurrency trading and related services.
