[2017-09-19] China May Try to Block All Bitcoin Transactions in the Country

[moriskarlov]

The Chinese authorities may be moving toward a broad clampdown on Bitcoin, including peer-to-peer (P2P) exchanges and over-the-counter (OTC) trading platforms. Using the Great Firewall to block IP addresses, access to foreign bitcoin exchanges could be blocked and the Bitcoin transaction network could be disrupted within the country. Bitcoin miners are also worried that their operations could be restricted.

Broad Clampdown Includes P2P & OTC Platforms

Chinese authorities have reportedly informed several industry executives at a closed-door meeting in Beijing on Friday that they are “moving toward a broad clampdown on bitcoin trading,” according to the Wall Street Journal on Monday. Citing people familiar with the matter, the news outlet wrote:

        "Regulators have decided on a comprehensive ban on channels for the buying or selling of the virtual currency in China that goes beyond plans to shut commercial bitcoin exchanges."

“Until last week, many entrepreneurs in China’s Bitcoin circles had thought authorities might shut down only commercial trading activity while tolerating peer-to-peer, or over-the-counter, bitcoin platforms, which enable buyers and sellers to find each other and trade directly,” the publication further detailed.

This news came after Beijing had ordered bitcoin exchanges to shut down, which many have already complied with, including Btcchina, Huobi and Okcoin. Following the regulatory crackdown, bitcoin’s prices initially fell but have since recovered. China’s trading volume has dropped to the fourth position globally, as traders migrated business to OTC markets and exchanges outside of China. Trading volumes on Localbitcoins subsequently spiked exponentially, news.Bitcoin.com recently reported.

Last week, Bitkan suspended its OTC cryptocurrency trading service. The suspension, which began on September 14, affects the platform’s mobile app and site for BTC and BCC OTC services, the company announced.

https://news.bitcoin.com/china-block-all-bitcoin-transactions/

[dfox101]

Chinese government is simply stupid, they will miss out the biggest innovation in the century. They will regret later, the communist is simply stupid.

[iamTom123]

This can be bad news on the surface specially if the government would later on also do something about Bitcoin mining. There are many Bitcoin miners in China and it is becoming a big industry and can be bringing in some foreign exchange into the country.

Now, in case the government would also be banning mining, it can create some vacuum in the marketplace and the market can be reacting negatively. But this is also presenting a good opportunity for new players into the field as other countries can be encouraged to beef up their mining operations or there can be newer countries to enter the game.

In the long run, I see no problem even if China would kick out all miners from their country but as of now there are still no hints if mining is included on their Ban Plan. This can be a big loss for them and can create new windows of opportunity for others.

[Baofeng]

A would be surprise if they wouldn't. They have started this war so I don't know if they are just stopping now. For me, they will totally ban bitcoin in their country and the next target will be the miners. Being a citizen of China and bitcoin lovers don't look very good as of now. Just so sad the sudden turn of events, from one of the haven to anti-bitcoin. I can only understand that they really think that bitcoin is a risk for the country, financially. Well, its time to move ahead and forgot them because the ecosystem will survived without China to back us up.

[Irvinn]

It seems that everything goes to the fact that China will completely prohibit its citizens from carrying out any digital currency transactions within their country, seeing the threat of such activity for the financial system of China. It seems that the decentralized digital world has lost China as part of the global decentralized crypto currency market. It seems that bitcoin in China will be banned completely. To go there will be those digital currencies, which will be completely subordinate to state bodies. However, there is no special danger for a decentralized digital currency. This part of the Chinese market can be assumed by other states, such as China, Hong Kong and others. They can get bitcoin in these and other countries and they are almost ready for this.

[fisheater]

This is not a bad thing, let Chinese go out of the bitcoin so in the future they will have no say in the bitcoin business.

[SvenBomvolen]

If it is really so it is goin a disaster. I think after proving of this information the price for bitcoin will fall down and we will see 2000$ again or even something lower. From the text of the tread I didn't get the reason of China's desidion of blocking bitcoin transactions, so I would like to have some add information to clear it up to myself, if somebody have something about it, please, post the link below. And the second thing, the talk is about bitcoin, but there are many altcoins, will they stay on Chinese market and transaction of altcoins will not be blocked?

[zakalwe]

This announcement didn't cause another crash in price. I wonder why. Maybe bitcoin became independent from ever-changing and unpredictable situation in China. However, I am afraid that this news are just speculations for now and investors are waiting for confirmation from more reliable inside sources and as soon as news are confirmed, the price will drop massively. I hope this news will be denied from offical sources.