Regulation of bitcoin trading to be stepped up

China's financial market regulators are seeking opinions about how to better regulate trading of bitcoin, the virtual currency. These steps may include setting up a depository platform, said sources with close knowledge of the matter.

Authorities visited executives of a number of bitcoin trading platforms last week, and have inquired how the platform works when value of the virtual currency plunges and surges, a person at a Shanghai-based digital trading platform told China Daily.

Concerns focus on the transparency of trading, risks that bitcoin could be used as an illicit capital flow channel, and protection of traders' rights, such as stabilizing the system when the trading volume surges.