Photo: VCG

China's top securities regulator listed 258 illegal platforms and institutions operating illegally in the over-the-counter (OTC) options market.

The warning came as Chinese A share market has seemingly entered a bull market with A shares rising for the 7th day on Wednesday. 

In an online circular, the China Securities Regulatory Commission warned investors that under the country's new securities law, such practices by a non-brokerage firm are illegal. 

Operators of such business face legal penalties and participants don't have their rights protected by void contracts.

Most of the 258 entities exposed on Wednesday, which attract investors via websites, mobile phone apps and WeChat accounts, are based in Beijing, Shanghai and Shenzhen. 

The Shanghai Composite index rose 1.7 percent on Wednesday to end the day at 3,403.44, its highest close since February 2018.