Bitcoin Forum

As the first day of January 2017 approaches, concerns that the yuan will likely depreciate further in the coming year because of the Chinese government’s enforced capital control may force more users seeking to move money out of the country to Bitcoin.

January 1 is when the yearly $50,000 limit that the Chinese government permits citizens as the amount of money individuals can move out of the country in a year comes to effect. This measure enables many Chinese to pull their money out of China.


http://news.8btc.com/will-chinas-50000-quota-matter-for-bitcoin-after-jan-1

Yes it will greatly matter. Remember that China has legalized and permitted its citizens to own bitcoin and so many are buying bitcoins both local and foreign. If their qouta will reduced from 50k$ to 10k$ as the article mentioned it will play a huge impact on bitcoins. And so the Chinese buying power to purchase bitcoin will decrease they can no longer hold much bitcoins that way.

It depends on how these capital controls would influence Bitcoin transactions too. If they regulate fiat to Bitcoin and limit the amounts that can be bought and sold on exchanges, then Bitcoin would not benefit from these changes in the policy. This will in turn force people to buy bitcoins via Black markets and not through regulated exchanges. So it all depends on how the capital controls would be enforced. ^hmmmmm^

Ya it is true, because this control is just like they are having control over fiat currency transaction in bank, so i think now China government want to control bitcoin just like bank and this is not good for Bitcoin users. It will really make users to use bitcoin now unofficially to have high transaction.

It is very likely. It is perhaps one of the reasons that we see a continued increase in the price of bitcoin but and for some alt-coins too. If also apply what article writes about $10000 quotas to my point of view is almost certain any further increase of bitcoin's price.

well, bitcoin has always been the best option for transferring very large amounts of money specially to outside of one's country. and things like this can make people wanting to transfer that kind of money more interested in using bitcoin but there are some problems.

for example someone who is working with fiat, wants fiat for his trades and buying bitcoin, transferring bitcoin to convert to fiat on the other end will cost a lot more.

This is very good news for Bitcoiners, BTC holders and investors. Any form of government intervention in its citizen's money matters and an imposition of some control is a good thing for a currency that is designed to be resistant to censorship and centralized control. We should be having a New Year's party with that news right now.

this will actually force their government to take more contorl on bitcoin, if they begin to think that chinese will use bitcoin more

it would lead to more laws for bitcoin thus hidering its adoption, in china, not exactly a good think in my view

$50,000 is a very significant amount. And if you add in your family members, it will be possible to move as much as $250,000 or $300,000. That is more than enough to purchase residential apartments in the United States or France. But if they lower it to $10K per person, then it will be too low.

In the 2013 document. it says the people has the freedom to trade bitcoin.

Chinese people will certainly put more money in bitcoin, so to move it around freely. Especially from what I heard a lot of money are from gray income, they evade taxes etc, so they don't want the government to track it.

China’s authority announced two measures on the last two days of 2016 in an attempt to curb capital outflow. Meanwhile Bitcoin soars to around 7,400 RMB, 600 yuan away from its record high of 8,000 yuan in 2013.

On 30th December, PBOC announced that banks were required to report all yuan-denominated cash transactions exceeding 50,000 yuan ($7,200) to the People’s Bank of China (PBOC). Prior to the change, the threshold was 200,000 yuan. The measure will be effective starting in July 2017. Insurance agencies, insurance brokers, consumer finance companies and loan companies, which are not required to report large and suspicious transactions, are also included in the scope of management. They are required to submit large transactions and suspicious transactions to comply with anti-money laundering obligations.


http://news.8btc.com/bitcoin-soars-as-chinas-curbing-capital-outflow

People will rush into bitcoin for money transfer out. The Chinese government may create more regulations for bitcoins, with more controls on money transfers and money laundry.

It all depends and also the Government may enforce certain rules on the Chinese exchanges also and I think it is a good idea that the Government on China sets some limits as we do not want what happened in Greece to happen in China as a result of many of the Rich Greeks not supporting building their nation, but instead chose tax evasion and taking their funds out into Swiss banks. I am afraid many Chinese also thinking to do the same, taking money to Canada and the U.S and Also Europe, this can bleed the country.

If you don't want the government to track it, using bitcoins is a poor choice. The best way is to use cash.
Bitcoin leaves a trail and if the government does pick it up, you will be in trouble.

it is a matter of time, China will end up banning bitcoin so we must be ready for that day. We must make bitcoin as decentralized as possible (that means supporting Core and segwit) and we must hurry up with the LN and sidechain to guarantee maximun privacy and transaction volumes.
Our hope will be in the black market. Again, only a matter of time until China bans it, they are not going to sit back and see how their money goes away.

There are so many reports on bitcoin these few days in mainstream media.

Bitcoin is not outside the country, it's everywhere.

This thinking is quite backwards, Bitcoin is a global network that is everywhere. So what if CNY is stored in Brazil for example, is that not allowed as well? It's still CNY right?

So with the same logic, if you have 1 BTC in your wallet in China, the money is still "in China", because you hold it as a chinese guy.

This makes no sense, and government regulation is always nonsense.

If enough FUD is raised it will effect newbies china and elsewhere...till they figure out otherwise after a bit of time.thus probably price will take a hit...
there will be a backlash of FUD on BTC rise...wait for it...it may just be noise and not really be 'workable' etc...but will effect newbies like panic'd newts and thus
volume and price....there are too many 'vested interests' with money connections for them just to see BTC run over their traditional investments etc without
throwing up a big stink in the press etc

Gonna be like smashing Jello with a hammer ...great fun for the FUD'ers ...but end result is NO Jello to eat.(BTC)..and big mess to clean up ....on top of looking silly doing it
after the fact. :) Especially if/when the price continues to rise and such.

If you don't buy bitcoin from regulated bitcoin trading platform than you may not get in trouble as government can't just track you down by bitcoin address. But this is true that if they want to limit the amount of currency they can move out of country than they may also put limit on number of bitcoin you can buy from regulated trading platform, which may pump more volume in p2p trading platform like localbitcoins, paxful etc.

I think the $50000 quota is the reason behind the recent rise.

For a person who has spent a long time in the forum I cant believe that you can fathom that it will force their government to take more control of BTC. How are they going to do it exactly? Please enlighten us with a thorough explanation.

If they really had a way to control it they would have done it already.

yes, awesome. The price will continue to rise up and it will hit 2,000$ in this year I think.
This is a lovely year of bitcoin. Congratulations to bitcoin holders.

I`m wondering about the btc price changes recently.

Is the bitcoin price $1050 only because of China?

If yes,there is a big problem with the bitcoin independence.

They can't control everything. Lets say they try and succeed, alt will step in its place, pandoras box has been opened and nothing can close it.

It is very likely that China will ban bitcoin in their country. The reason why they are limiting the the 50,000$ qouta to 10,000$ is that many Chinese are laundering money using bitcoins in their country. Such limit is also one step to hold the dollars in their hand so as not to have economic crisis in their country. Lastly it is possibly that China will ban bitcoin if they launch their virtual fiat currency soon.

Absolutely.Given the strict Chinese laws I doubt anyone would try to go against government policy which would also apply to bitcoin holdings.
This will have negative affect on bitcoin price for many people will have to sell bitcoins to stay in limit

I'd imagine that the price $1082 from Coinbase and Bitstamp now is not only because from devaluation of yuan in China but is also due to demonetization in India, and the hyperinflation in Venezuela. Mainly the rally today and previous 5-6 days is coming from China and we can look the price of chinese exchange now is $1121 Bter. Therefore there is an increased demand of coins in China.

There is another side to this NEWBIE wise.....say the China folk start to putter out due to China Gov't making it 10k limit rather then 50k limit to xfer.

But they like all newbies (I was in 2013) have drunk the kool aid and won't dump (holding) at the lower price.....it could be a draw and then the

wonderful world of BTC price sideways for a couple months ..(btc loves sideways) ..just saying (hoping if the China 10k fud comes to pass)

I also think it is one of the reason, but it will be quite hard to know all of the reason behind any price pump or dump.
However this limitation can easily encourage more Chinese to hold more and more bitcoin.

It seems it does not affect the price of bitcoin.

The Chinese have multiple currencies they stash into and with this happening BTC will become more attractive.

I know people living off faucet opportunity, despite this being a repeat crisis it looks as if more money will be spread out. In many places foreign fiat is better to keep money in than their own.

This will have a great effect on Bitcoin, since if they know they have the possibility, just for a little time, to move a restricted amount of money, they will know this is because something big will come after. They will not miss this opportunity and I think many will move exactly 50 000$. The measure have been introduced quite some time ago, so the early consequences might be known to this day, no ?

Yuan devaluating? What happened to all those people shouting Renminbi tied to gold was going to be the next new world currency? Sounds like they were just stalling for the upcoming disaster then.

Why do you think that?
What kind of Information makes you think that?
For me its kinda hard to see if this does or does not affect the price..

If China was really a big player when it comes to the price and traders, then it surely would have had a serious impact in the price as $50,000 is peanuts for decently sized traders.

Just look at how the price is moving up where western exchanges are now steering the price to new highs, while China can't do anything other than following. It used to be exactly the opposite, lol.

China has lost its position and rightfully so. They were causing massive amounts of volatility due to their horrible 'investment' strategy that has more to do with gambling rather than thoughtful trading.

I think yes, china's target price which is 50,000$ is one of the reason why the price is keep on rising up and also one of the reason why price is skyrocketing is because most of the big investors,manipulators and miners are there in china so it is very easy for them to reach that 50,000$ target price if they will keep on doing good manipulation and good controls in market.

I think it is possible that the Chinese government is buy bitcoin secretly.

Why would they buy it secretly if they control majority of the Bitcoin network. People should stop giving the Chinese government a bad name. Even if they manipulate the prices on the market I believe it's in the right direction because it help keep it low so that the bad people ( drug dealers, money launderers etc.) would not use Bitcoin as their door to transfer huge sums of money in transacting filthy businesses.