Bitcoin Forum

Zerohedge published an article today stating that China plans to impose capital controls on Bitcoin. They cite "Bloomberg sources" as the source of information. Is there any truth to this or is it Zerohedge up to its old games?
http://www.zerohedge.com/news/2016-11-03/china-prepares-impose-curbs-capital-controls-bitcoin

We expected this to happen at one stage.. { if this is true } .... China cannot just sit back and watch unlimited capital going to other

countries. The problem with this is that it's easier said than done... How do you stop someone from sending bitcoin from one address to

another? The regulation will only apply to services that adhere to these controls..... It will be interesting to see how they would be approaching

this.... Remember there are loads of other Alt coins that are more suited for this, because they are more anonymous.  ???

simple. strangle their exchanges completely. what's in it for the government to allow them to stay open anyway? hardly anyone uses it there, it doesn't generate much or any tax, it's just a giant future pain in the ass.

Bloomburg has been writing some real cookie cutter stories on bitcoin that show they have no understanding of it and just steal a story from another writer or pay for a identical story. Really lost a lot of faith in them with the pro Hilary stories they kept running and hard to not see them being biased in other areas as well. Now China tightening grips is always a issue and sometimes its not all as tight as they make it look from the outside. Sometimes the people have more sway than China would like to let on.

@OP China banning bitcoin is an old trick to make coins cheaper...

https://i.imgur.com/WzkZ3W5.png

https://i.imgur.com/AmMnOMg.png

https://i.imgur.com/BeuFegK.png

https://i.imgur.com/i5hChOb.png

https://i.imgur.com/eXg5WZx.png

https://i.imgur.com/zvmy544.png

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i do not know why chaina is always chassing to conquer at btc but its completly impossible i dont have any idea about how strong they are but at a normal person view its competly impossible to control the whole bitcoin network or the world all they cN do is regulate their own country

LOL

economics 101:
when someone wants to swap their yuan for bitcoin... someone else is swapping their bitcoin for yuan..
nothing changes for the yuan. nothing changes for the bitcoin. all that changes is who is holding it.
no yuan is burned/lost forever when someone converts it to bitcoin.

yuan says in circulation, bitcoin stays in circulation.

the destruction of the yuan is not, nor ever has or ever will be due to bitcoin.. but instead suitcases.

put banknotes into a suitcase and have it get lost, burned thus taking funds out of circulation..
this is why china is starting its own blockchain as part of the hyperledger, to become part of the digital revolution where funds dont go missing. and slowly let bank notes die out.

the article the OP is linking has misconceived many things and made assumptions based on badly researched opinion..

Don't really think Bloomberg got it right. I don't think China alone can control btc. Their own economic conditions are faltering and they want to conquer Bitcoin.

If it's really going to happen, then it doesn't come by suprise for a lot people here. China is just looking to eliminate every method and tool that will allow people to transfer their money/wealth elswehere. Bitcoin fits in that category nicely. This is of course assuming it will really happen, because as it is, these are only rumors.

But then again, rumors are enough to get the entire Bitcoin market to shake up with a lot panic selling as result. I won't be surprised when all this turns out to be FUD in order to get the price to come down. For me as a trader it's a more than welcome happening as I love this kind of volatility, but for the non traders and rookie people, it's of course not helping as they already have a poor level of confidence in Bitcoin.

Just means cheaper coin for Venezuelans, Argentinians, India-ans, etc. to buy.....

China is just profiting off the pump and dumps from the nonsense news.

nope. its use as a currency was expressly forbidden in 2013/14 by the chinese government. they stated that it could be traded and collected and nothing else.

their thinking is that people will use it to surpass capital controls. that don't make it a currency but it does make it more likely to be subjected to another crackdown.

How dumb is it? If people can trade, they can buy and hold it to hide illegal earnings.

Any country do one thing, some 'legalize' it, some ban the exchanges, some ban any other thing and well, this is a mess...

This is a mess but not a problem for bitcoin. I think the price falling since about 2-3 hours is from this stupid news article, if it is so I am not worried at all. I know bitcoin price cannot be manipulated as easy as these guys are saying.

 Bitcoin will be great until the end of time, this is as sure as death.

Be calm people and for a joke I bring you one of the top comments of the article.

https://i.imgur.com/4Q9VmNm.png

I don't think it is China that is behind this price hike.I think it is halving effect which is taking place after a long time.I also think that lots of ICO have gathered thousands of bitcoins in previous months which are still locked in escrow.Once these bitcoins will be released,bitcoin price will creash

I don't think ICO's have something with it, ICO comes and go.

That's probably some wale or a lot of users selling it for a good price or an exchange ;) think about

China does have a strong resource in mining digital coins. but as control I think that China does not have that much power.

Whatever will happen, china is only one country, big one, but only one.
Mines will here to stay, even in china with capital control.
Don't worry, we won.

They do have because of most of the miners are living there. And they will not get the most miners if they don't have much power.

So I am not surprised that China is having capital control with bitcoin. Because as long as they have something for profit.

They are going to get their interest to it.

I'll believe it when I see it. Right now all I see is zerohedge trying to push something that isn't being reported by any other sources. If more people start talking about this and the Bloomberg source comes out and actually starts to talk about this, then I will be more inclined to believe it. Until then I have to believe that this plan is at most a rumor, and there are very minimal plans for anything to happen beyond this.

But we should all agree that these rumors have affected the price significantly. So, if that was the plan, it did work out after all. Someone has paid Zerohedge to push that agenda, and a lot of people started panic selling their coins at a loss. Money always moves from weak hands into strong hands...

The usual day, the usual bunch

Also add Nepal on the list, demand for bitcoin in here is very high few people are even buying bitcoin for 10%+ than market rate which is quite crazy. And this price dump made a great opportunity for us to buy more before another pump rally.

As china holding majority of bitcoin mining power right now, banning bitcoin may not be reality soon in china. There will be lots of pressure from miners to government as they have spended so much on mining infrastructure.

I tend to be cautious regarding "China news" for Bitcoin. We've already seen a lot of false rumors, released with the intent to manipulate exchange rates.

Of course it's not impossible that China will implement some kind of capital controls for Bitcoin exchanges. After all, the country has a highly restrictive economic policy. However even if laws for such capital controls are adopted it remains to be seen if these are actually enforced and if enforcement is effective.

I doubt that the Chinese government will be able to effectively oppress Bitcoin use in the country. All they can do is shutting down the centralized exchanges. P2P trades will still be possible after that and sending / receiving Bitcoin could only be prevented by shutting down the entire IT infrastructure.

Let's wait and see, if anything materializes...

ya.ya.yo!

They can control bitcoin in someway because they have high bitcoin users in their country. China economy really affect the price changes of bitcoin. Most of the traders are watching the china's economy.

It's funny to see how many people believe this nonsense and started dumping their coins in full panic.

If the Chinese government wanted to highly restrict the usage of Bitcoin, they would have done it years ago, and not spontaneously right now.

The Chinese pumper team is behind this, I am sure of that. They control the entire market with iron fist for quite some time now.

This can't be more than rumor like we have seen in past about bitcoin being banned in china. Another rumor, another dump, weak hands lossing and whales now will soon gonna pump the price again hard.

Where do you get this information.... source? The halving is long gone, and will not have a impact anymore.. most miners worked the effect

of the mining into their mining operation and profit margins ...way in advance. China has definitely something to do with this, just look at the

volume being pushed through the exchanges.  ;)

Someone out there is trying to use the ''Chinese Will Ban Bitcoin" scare tactic again. Why not ban it already and let Bitcoin move on from it. If those rumors are true, which they are not, then it could also be seen as a positive for Bitcoin for various reasons. China will slowly lose or diminish their influence over Bitcoin and will give room for other players to get in the exchange trading and mining game. Another reason is this should be seen as another test for the resilience of Bitcoin and a chance to give the finger to the man.

You Sir made my day  :D

Shutting out more than a billion people won't be good for Bitcoin. We could plunge to scary levels, which would result in other people losing faith in Bitcoin as well.

actually may be it a true news . but there is no control and not will be capital control also .
actually the distrub in the price of bitcoin is many time is du to the china . so we can say china is big user of btc and still mining in china is also profitable . so may be a mew company is going to start by them .

the truth is this has been "news" since 2013.

Probably true to be honest.

I don't think there has ever been a time where China wasn't pushing for something like this, and chances are it's been on the drawing board since people started to really get involved.

They have tried to prick the bitcoin bubble before.
The Chinese government hates bubbles - people become disappointed when bubbles burst, and their ire is directed towards the government.

It will be hard to ban something so pervasive. Perhaps I do not know much, but, as there are lots of bitcoin miners in China... isn´t that good for the country? Does it not mean chinese are getting money virtually from nowhere (so country gets richer)? Why would they want to ban it?

But it will undoubtedly have a devastating effect on the Bitcoin price, given that the absolute majority of bitcoins that are traded are traded on these exchanges. It won't kill Bitcoin, but most likely crash its price down to two digits. And yes, I said that, i.e. below $100. What would the Chinese holders do if Bitcoin gets banned in China in a most restrictive way? Would the Chinese authorities take such drastic measures? I don't know, but I'm dead sure that they could do it, and that would be very destructive. Or they might be waiting to centralize Bitcoin both in the miner and in the buyer departments...

And then deliver a lethal blow to finish off Bitcoin completely

Sooner or later the communist government of China will try to take control over bitcoin.

This will have some negative impact over the bitcoin price.

I don`t know if this info is true or not,but there is s huge possibility for this to happen.

A billion people? So you think a billion Chinese people are using Bitcoin regularly in their lives now, and that shutting them out will result to dire consequences to the Bitcoin economy? I am sorry sir but most of the Chinese who are into Bitcoin are speculators. It will be surely bad if those thousands of Chinese speculators will be shut out but it will not make Bitcoin "die". Far from it sir.

China honestly runs everything. This isnt surprising for me. It's the reason this
moron trump actually has traction in the US. People are so worried about the
economy and china.

This is not new that chinese capital control over bitcoin. Some of
cyrptocurrency really controlled by chinese people. I've heard this
news later this year. But Im hoping that they have a good plan,
I dont really know whats their intention though.

I'd rather agree that shutting out more than a billion of the Chinese people won't bode well for Bitcoin, even if only a small percentage of people in China are actually using Bitcoin right now. Shutting out China from Bitcoin basically means that the Chinese population won't have an opportunity of using Bitcoin in the future. And they could make all the difference.

How can this be good?

it's enough to set everyone else off into a panic to put it in the doldrums for a long time. and it's probably hundreds of chinese speculators. everyone else on the chinese markets is american or european.

I dont think that the main speculation is done by Chinese but Chinese market is controlled by some americans and europeans , they are having miners and trading account in chinese exchange and doing all trading and making the world to know that chinese are the main bitcoin price speculators. but the real thing is something else.

It was interesting to see that the plunge in price started shortly after the appearance of the article on ZeroHedge - but that was 2am in China on a weekday - so I find it hard to believe that it was actually Chinese traders that live in China that were the ones dumping (far more likely that the dumpers were actually from the US).

There was also no media release made in China about this at all and also note that the "author" of said article is apparently Tyler Durden. ;)

I was wondering why would china want to be controlling everything in the world while they are not the only existing beings on the earth. Bitcoin does not belong to any country so they should just forget about controlling it.

I don't think they are trying to control everything. It is typically the Americans who are earnestly believing their country and their way of life is the best, and the best for anyone at that. China is just trying to survive in their own way. Through all their history they have been fighting with invaders, for example, with the Mongols, the British Empire and Imperial Japan, though not very successful overall.

if they are just wanna for reaching the another income for their financial country. I thought a lot of the potentially of bitcoin are quite easy to get any effect by using just a little sound. like this one is so quite easy for made the rate of bitcoin are fallen.

I'm a Chinese who living in China, but I didn't hear any news about banning Bitcoin again, they don't even really "ban" Bitcoin back in 2013, all Chinese bitcoin exchanges works, smoothly. Bitcoin is banned as a currency in China indeed, but as some kind of commodity, it's legal in some kind of unofficial way.

They do control everything but if they could prevent RMB and whole financial system from Bitcoin, they would keep it live.

Did I ever say that shutting them out will be good. It will be bad but it will not be "the end of Bitcoin" bad. In a way this should be seen as a test to the resiliency and robustness of Bitcoin as a censor resistant network and let us see how its value transfer function gets affected in an unfriendly government. If BTC still goes around changing hands around the users of China then their "ban" will be laughable. Prepare and set up the Tor based Chinese exchanges people. Or find a way to get BTC/CNY trading jump started at bitsquare.io somehow.

https://bitcointalk.org/index.php?topic=1671133.0

Unless you are tank proof you will do what the Chinese Officials tell you to.

 8)

This will really be interesting and I encourage the Chinese officials to go ahead and try. Oh please, yes, please impose capital controls on Bitcoin in China. I would love to see bitsquare.io finally have justification for its creation and use case as a censorship resistant, peer to peer exchange. Also a censorship resistant market place will be next once they totally ban Bitcoin as a currency.

The only way for Bitcoin to go truly forward is for the authorities to try to put it down.

I would say this is a rather childish attitude. And that looks very like what Friedrich Nietzsche once said (whom you must be a great fan of). Namely, what does not destroy me, makes me stronger. Why not then you chop your fingers off? It will most certainly not kill you but should truly push you forward, right? Though your mileage may vary, of course...

At least, you won't be posting such crap anymore here

I think the Chinese speculators will affect the price of bitcoin quite a lot. If they are not allowed to own bitcoin, the price will drop.

They have been affecting the price for years now. Also, a lot of these Chinese speculators are western investors trading in China due to the zero fee policy of the exchanges there. If China makes it more difficult for these investors to continue their usual routine, then they will switch back to western exchanges. In that regard, they do have a plan B ready. It won't be the same as operating their investments from China, but it's better than shutting down everything.

Personally, I don't think there are many Western investors on these exchanges. I was thinking about trading there somewhere around a year and a half ago, but some of them didn't even have readable English interface at that time. Besides that, why would such investors want to trade there if the only fiat currency traded on these exchanges is the Chinese yuan?

Maybe, something has changed since then, but not likely