OKCoin instead created a "recharge code"system, that, as I understand, allows a client A (a "broker") to transfer CNY from his OKCoin internal account to that of another client B. For that, B has to negotiate with A and pay him in CNY outside the OKCoin system and their bank account. A couple of days ago, it seems that they had only one such broker and he set a minimum of 10,000 CNY per transfer.
As I understand, recharge code system is still a kind of third party system, but pboc does not allow "third party" to connect exchanges. If pboc wishes, he can stop recharge code system at any time, obviously.
But pboc will probably not ban recharge code system. Why? I read pboc as follows.
Pboc has little interest in bitcoin/exchanges. If bitcoin is blocked from commerce, everything is ok for them. Their full attention has been on the "third party payment processor" and "internet P2P loans", who are eating bank's cake, quickly and greatly.
The so called No. 10 Notice from PBOC( reported by media on Sat.) tells that pboc's current major aim is on third party payment processors, not bitcoin. To limit the daily and per transaction volume, to double authenticate clients accounts, to share full transaction information with banks, all these steps are aiming to weaken payment processors.
These payment processors are already very strong and play important role in Chinese commerce. Further, some strong ones like Alipay also have supports from political powers. This is a great challenge and headache for pboc.
Bitcoin and the exchanges are peanuts. Pboc has little interest and not much time to consider that it could become more competitive than payment processors. But bitcoin is in the category of " Internet finance" ( same as payment processor), pboc's policy towards bitcoin/exchanges is included in the polices towards payment processors.
So, we need to follow pboc's movements towards payment processors, not bitcoin itself. PBoc can not ban payment processors, can not block them prom commerce, the only thing they are trying hard to do is to weaken them. Difficult but have to though.
Coming to bitcoin, PBOC is much more tougher, as they can do so while they can not with payment processors. It doesn't mean they have more interest. They have banned bitcoin from commerce, they have banned bitcoin from banks, they have banned bitcoin from third party payment processors. What else they have not banned?
Yes, They have not banned bitcoin from recharge code system, which is also a kind of third party payment. BUT remember, such third party payment is different from which pboc aims at - strong payment processor like Alipay.
I predict boldly if I may, bad news from China has come to an end, though good news should not be expected in anyway, in any foreseen future.
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