https://news.bitcoin.com/bitcoin-mules-flood-china-as-otc-cryptocurrency-trading-flourishes/Chinese bitcoin mules are buying bitcoin in various markets around the world and smuggling it back in to the country to fuel the flourishing and unregulated OTC (over-the-counter) market, according to a report from the region. However, the business isn’t as lucrative as it was a few months ago.
John DeCleene, an assistant fund manager at Overseas Chinese Investment Management, explained: “The market’s kind of taken a downturn; It is too many players entering this market, but also less of the hype we saw in December-January, when people were paying a 30 percent premium because they expected 10 times gains overnight.”
Reuters has interviewed a mule that admitted to illegally entering the United States with up to $40,000 to buy bitcoin which she then sells on the Chinese OTC markets. “Selling and buying bitcoins on those OTC websites is the same as shopping on Taobao,” she commented.
