PBOC warns of financial risks in crazy sales of sneakers

The People's Bank of China, the central bank, has warned that certain practices in sales of sneakers could lead to a bubble and even financial risks.

Experts said reselling of special editions of running and basketball shoes made by global brands such as Air Jordan and Yeezy, which could result in price rises, speculative trading and financial fraud, is attracting regulators' attention.

The Shanghai Head Office of the People's Bank of China said in a financial briefing on Oct 16 that it had found alarming signs of possible financial fraud in the sneaker trade, including illegal fund-raising, illegal use of public deposits and illegal pyramid schemes.