(Yicai Global) Sept. 6 -- Cryptocurrency bitcoin traded higher in China on Wednesday as market participants continued to assess the fallout from China's decision to ban individuals and organizations from raising funds through initial coin offerings (ICOs).

On Huobi.com, a China-based bitcoin exchange platform, bitcoin rose 7.2 percent to CNY27,913 (USD4,264) at 14.30 p.m. today, but remained below its recent peak of CNY32,350. Bitcoin had its lowest quotation at CNY22,466 yesterday after China banned ICOs.

The People's Bank of China (PBOC) said on its website Sept. 4 that it will strictly punish initial "virtual currency" offerings, which must be stopped with immediate effect. It will also penalize any existing violations, it said, as ICOs may involve illegal fund-raising, financial scams and pyramid schemes.

Bitcoin is still strong possibly because the central bank is targeting ICOs rather than bitcoin alone directly.

China's ban on initial coin offerings (ICOs) is just the start, and the country will roll out more cryptocurrency regulations, a source close to policymakers told Yicai Global yesterday.