FINANCE

China Targets AI-Generated Misinformation, Illegal Stock Tips in New Cleanup

Published: Dec. 20, 2025 4:33 a.m. GMT+8

00:00

00:00/00:00

Listen to this article 1x

A statue of a bull in Pudong’s Lujiazui Financial District in Shanghai, on Aug. 18, 2025. Photo: Bloomberg

China’s cyberspace and securities regulators said on Friday they had shut down and penalized a batch of online accounts for spreading false information and illegally promoting stocks, as part of a continuing crackdown on market rumors.

The Cyberspace Administration of China, working with the China Securities Regulatory Commission, said the action targeted accounts that fabricated policies, distorted public disclosures, used AI to generate false content or lured investors with illegal stock tips.

You've accessed an article available only to subscribers

Subscribe today for just $.99.

VIEW OPTIONS

Unlock exclusive discounts with a Caixin group subscription — ideal for teams and organizations.

Subscribe to both Caixin Global and The Wall Street Journal — for the price of one.

Share this article

Open WeChat and scan the QR code

DIGEST HUB

Digest Hub

Back

Explore the story in 30 seconds

Chinese regulators shut down and penalized online accounts for spreading false information and illegally promoting stocks as part of a crackdown on market rumors.
Actions targeted fabricated policies, AI-generated false content, misleading stock tips, and rumor-based market predictions across platforms like WeChat, Weibo, Baidu, Douyin, and Kuaishou.
Authorities emphasized that such activities undermine market stability and announced stricter content rules, urging investors to verify information and avoid speculation.

AI generated, for reference only

Who’s Who

Baidu: Baidu's content platforms were implicated in the spread of false market information. Specifically, several accounts on these platforms were found to have utilized AI-generated articles with sensational headlines. These articles were used to criticize regulatory policies and incite negative sentiment among investors.

Douyin: Douyin is a short-video platform where some accounts were cited by regulators for using provocative language to predict stock market movements, fueling speculation. In response, Douyin introduced a trial code of conduct for financial content, requiring creators to have professional credentials for market analysis and strengthening content management.

Kuaishou: Kuaishou is a Chinese short-video platform where some accounts have been accused of engaging in illegal stock recommendation schemes. These accounts showcased chat records and profit screenshots to suggest guaranteed returns, encouraging followers to buy specific stocks. Regulators have moved against such accounts as part of a crackdown on market rumors and misinformation.

AI generated, for reference only