Just when you thought China could not get stricter on cryptocurrency, China’s leading newspaper, Shangai Securities News confirmed 120 foreign cryptocurrency exchanges would be banned.

Chinese cryptocurrency exchanges which include Bitfinex, Binance, Huobi and OKEx have already shut down and moved operations from China. February 2018 was the month when things got too tense for the cryptocurrency exchanges to survive in China.

Reports indicate 85 Initial Coin Offering (ICOs) projects along with 88 Cryptocurrency exchanges have shut down in China ever since the crackdown. The Yuan-Bitcoin (BTC) used to account for 90% of the world’s total trading in Bitcoin however now it is equal to less than 5% of the total trade volume.

The Chinese government appreciates Blockchain technology, however, it is strictly against cryptocurrency. It is a strange occurrence given that Bitmain which is the world’s largest Bitcoin mining company is headquartered in China.

A day before China’s most used social media platform, WeChat banned cryptocurrency media as WeChat stated it was due to Cryptocurrency and ICO’s being banned in China that it had to refrain from advertising companies related to it.

Something to ponder about would be the figures for growth if China did not ban cryptocurrency and ICO’s. The Central Bank Deputy Governor of China, Pan Gongsheng said it best last December-

 

“If things were still the way they were at the beginning of the year, over 80 per cent of the world’s bitcoin trading and ICO financing would take place in China – what would things look like today? It’s really quite scary.”

 

A Reddit user by the name of ‘nikidichev’ commented on how China will only support its government-backed coins.

 

‘They are going to support only projects which Chinese government takes part in … : NEO/TKY/PHX etc. …’

 

The comment might prove to be right, given that China has its very own social media. For example, Tencent is China’s version of Facebook and Weibo which is the Chinese version of Twitter.

With Virtual Private Networks (VPN) being quite popular in regions of the regulated internet, users on social media comment on how they will be used in times like this.

It’s fair to say that Cryptocurrencies whether regulated or not, will always find a way back to a crypto enthusiast’s digital wallet!

 

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