China ban people from using usdt

[Barikui1]

China warns that using tether (usdt) as an intermediary in foreign exchange transaction is a violation of the law.
The supreme people's procuracy(spp) and state administration issued a public warning, emphasizing that the use of tether(usdt) as an intermediary tool in transaction between Renminbi and other foreign currencies are not suitable.
This includes indirect participation, such as technical support or provisions of exchange services.
https://www.binance.com/en/feed/post/2207492174690?ref=102894024&utm_campaign=app_share_link

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[kentrolla]

China can never be crypto friendly and has left no stone unturned to stop people from indulging into anything to do with crypto, it will eventually fail like it has failed in the past and now I feel it's nothing new to an communist regime that it wants it's population to stay poor and behave like sheep. It would be loss to China already billionaires and millionaires are leaving Chine for other free nations where they don't have restrictions on anything and everything, this will only add up to the list of miseries it will go through.

[rat03gopoh]

I don't understand why this is a separate rule. What I know is that the previous ban was a general ban for existing cryptocurrencies, does this indicate the identification of some violators after the total crypto ban from the Chinese themselves?

[avikz]

What else you can expect from a strict communist regime? China was never a cryptocurrency friendly country. They were the first country to ban ICO. They had multiple other public circulars regarding the usage of cryptocurrency within the country. So this public warning is not at all a surprise. I won't be surprised if China decides to completely ban cryptocurrency and impose punitive measures against the users. That's the basic nature of an authoritarian government.

Probably the government is seeing an increased use of USDT, hence they are being very specific in their warning.

[ZAINmalik75]

China warns that using tether (usdt) as an intermediary in foreign exchange transaction is a violation of the law.
The supreme people's procuracy(spp) and state administration issued a public warning, emphasizing that the use of tether(usdt) as an intermediary tool in transaction between Renminbi and other foreign currencies are not suitable.

This looks bad, I read the full news and it says one person was sentenced to jail for 9 months and another was sentenced to 7 years  7 years is a huge time, and in my opinion, this is not good, why would they go against such acts. On the first hand, I thought cryptocurrency is fully banned in China but trading USDT also comes under the category of using cryptocurrency. Maybe that's why the government of China wants to set up an example for others to follow the rules of not participating in crypto-related activities.

Even though many people are doing it for example I saw a video in which Chinese people were minting free BRC-20 tokens, which indicates people are using cryptocurrencies, but I think they have to remain hidden or use anonymous sources for trading.

This act is very sever and it really shocked me. And the funny thing is they used Binance case as an example to create fear among others who are thinking or using cryptocurrency

[arallmuus]

China warns that using tether (usdt) as an intermediary in foreign exchange transaction is a violation of the law.
The supreme people's procuracy(spp) and state administration issued a public warning, emphasizing that the use of tether(usdt) as an intermediary tool in transaction between Renminbi and other foreign currencies are not suitable.[/uote]

Why am I not surprised to read this. Basically china is going to ban everything that has "US" in its name because they wanna show how superior they are or literally their own currency. Well its actualy not surprising considering that they are already in position to do so, by 25 years from now they might be reigning most of the countries around by transacting in chinese yuan

This act is very sever and it really shocked me. And the funny thing is they used Binance case as an example to create fear among others who are thinking or using cryptocurrency

Its literally one of the biggest exchange around so I dont see how they would put in other exchanges there as an example

[electronicash]

it looks like the war starts in finance. didn't the regulators try stopping BUSD?  this China's Supreme People's Procuracy (SPP) is now also trying to stop its citizens from using USDT. but at least it's their citizens that they are regulating. not everyone around the world. so anyone outside China can still be using USDT.

i'm guessing they are also about to release Yuan stablecoin for their Hongkong traders.

[serjent05]

Probably the government is seeing an increased use of USDT, hence they are being very specific in their warning.

It is also possible that the Chinese Government is pushing its own CBDC.  They already banned cryptocurrency and yet they probably found out that their citizen is using USDT as an alternative to Bitcoin and probably they felt that the action is wrong since they have their CBDC and their citizen must use it instead of cryptocurrency.  Probably the Chinese government thinks that if they warn and penalize their citizen in using cryptocurrency, their citizen will be forced to use their CBDC.

[jrrsparkles]

I guess the ban is already in place for the whole cryptocurrency and this is about highlighting trading with USDT is also a violation of that law and will be punished if they get caught.

China is been two-faced when it comes to crypto currency and I'll tell you why, Hong Kong is part of China where trading crypto is allowed but not as legal tender and in all other parts of CHina its considered as illegal that shows China can't ban the crypto completely but still want to squeeze the crypto activities and profits from one place not just all over the country so its more easy to trace and everything.

[sunsilk]

If that is real and that is because of one thing, it's because they're going to have their own CBDC and they don't want any competition for it to thrive.

They're digital economy there and most people have adopted already and with this ban for using stable coins, it is because that they're cooking something and I think it was already two years since they've planned it or even longer.

Well, the people there can still do whatever they think although the PRC is too strict with their rules and with their sanctions.

[Mate2237]

Other countries are using not and there is no problem about the coin and they are warning user of cryptocurrency on USDT. Since when the cryptocurrency ecosystem came to an existence, and any country which not favored by the technology would used law to spearhead the warning or ban well from my read and the understanding of the op, China only warned the citizens to steer clear from the USDT and that issue is coming from by not following the due process of USDT developers with the native laws.

Government is always trying one way or the other to stop cryptocurrency but it is too late.

[johnsaributua]

The density of Chinese society and the business sector there may have something to do with it, which wants the state currency (fiat) to still be used as a whole and rejects the adoption of cryptocurency.  It's sad because the government may not want its demand to decrease than the supply of fiat money? because people use usdt? the Chinese state has its own perspective when other countries adopt cryptocurrencies there instead of refusing hard.

If an tiongkok government consider usdt as money laundering it is not the goal and not the function of usdt and stable value as an attraction as an alternative why should you scapegoat cryptocurrencies . China does have a developed and rapidly developing region but if it is too strict and provides regulations including severe punishment (fines and imprisonment) I feel sad, state but deprived of the right to freedom as a person in the aspect of transactions or investing.

[iBaba]

But don't you guys think China is over doing some of these there regulations and in a way stepping on the toes of its citizens? I feel like there should be that level of freedom to the adoption of some of the technologies we use today.

The entire world has been evolving by the day and the need to connect with the rest of the world has continously been important to others, so I don't think the government should put many restrictions to all these things especially the adoption of Bitcoin and other cryptocurrencies.

Bitcoin technology is an outstanding development to the history of technology across the world. It is therefore imperative for individuals and governments to key into these technologies and try as much as possible to make positive use of them for the benefit of the country's economy and that of the people.

[batang_bitcoin]

But don't you guys think China is over doing some of these there regulations and in a way stepping on the toes of its citizens? I feel like there should be that level of freedom to the adoption of some of the technologies we use today.

They are a communist and socialist country and that's why there's not that much freedom for their people to choose. Whatever their government tells you to adopt, that's what must be followed. But with what I see from people there, there's not that much problem at all because they're not actually restricted with their choices, it's just that they need to obey and they can still go and out of their country. But some policies really restraining people's choice.

[GreatArkansas]

Before Bitcoin, now USDT
I thought Cryptocurrency was already banned in China?
Why now they are talking about USDT where they already banned all cryptocurrencies?

It seems everyone now already doesn't give a sh!t anymore in China, whatever some decision in China, market don't react anymore because for sure people already immune and know that it will not affect anything, no panic anymore.

[BenCodie]

It's obvious why China have taken this stance. They want to eliminate competition for the Digital Yuan and take all trade that is being done with USDT.

This is a good example of de-globalization. How long did people think if would last before countries start to isolate themselves from each other and each others trade again? Didn't take a whole lot of time...

Economic warfare has only just started, this piece of news continues to validate it, and it will be a curious thing to see what new ideas countries have to attack each other economically.

Before Bitcoin, now USDT
I thought Cryptocurrency was already banned in China?
Why now they are talking about USDT where they already banned all cryptocurrencies?

It seems everyone now already doesn't give a sh!t anymore in China, whatever some decision in China, market don't react anymore because for sure people already immune and know that it will not affect anything, no panic anymore.

They've never actually banned all aspects of Bitcoin, always aspects of bitcoin like mining and exchanges operated in certain regions. The media has portrayed full scale bans but if you look closely, it's not entirely banned.

[tvplus006]

China warns that using tether (usdt) as an intermediary in foreign exchange transaction is a violation of the law...

The fact that the Chinese government opposes USDT causes no surprise, as they are trying to eliminate competition the digital yuan. But why does the ban only apply to USDT, while there are still many different stablecoins that perform similar functions?

[JeffBrad12]

this kind of action is truly expected of a china, they seemed trying so hard to keep their citizen using their own currency i'd be surprised if its other country since we all know USD is always considered to be significantly valuable than most of the currency out there so majority of country just gonna accept it anyway but china with current economic turmoil and even the effort of the western to sanction china from owning any means of advanced semiconductor so I guess they gonna went aggresive on anything that could potentially disturb the well being of their own currency.
moreover they've been pulling this kind of thing from long ago anyway, banning bitcoin and all, so there's definitely no surprise but I wonder if they are already preparing their own digital version of yuan or is it already out.
because if it is already out then this decision make even more sense to me.

[LogitechMouse]

Surprised? Not for me.
After all, they already tried to ban ICOs way back in 2017 when its hype was at its peak.

This is what happens when you are governed by a Communist party where they can just do everything that they want to do. They don't want somebody to overtake their currency Yuan, and I've heard reports of them creating a Digital Yuan, they see Tether or the whole cryptocurrency as a competitor, so I will not be surprised if they ban the use of cryptocurrency in the whole country. Wait did they ban it already? Please clarify.

More of this type of news coming from China in the future.

[Husires]

Are they targeting USDT as a stablecoin and hence the ban on all stablecoins or is it related to USDT? China will not be tolerant of cryptocurrencies, especially with the absence of its influence in the field of mining and its attempt to create a central digital currency. All of this will make China far from any decentralized solutions and would prefer to push people to use the yuan and its central currency.