China declared war on cryptocurrency in late 2017, banning initial coin offerings (ICOs) and cryptocurrency transactions in the country. Now the country's authorities are celebrating their victory, declaring that cryptocurrency activities have indeed ceased.
According to Reuters, financial watchdogs including the People's Bank of China have vowed to closely monitor private lending institutions and companies trading securities and futures contracts to prevent corrupt fundraising practices and excessive interest rates.
The crackdown, regulators say, stems from the use of decentralized and unregulated digital currency in illicit activities. The country also has several high-profile cryptocurrency crimes on its record.
When China made cryptocurrency transactions illegal, many thought that the end had come for the world's main cryptocurrency. “We can only watch the death of bitcoin,” said Pan Gongsheng, vice president of the People's Bank of China at the time. And such a ban really led to a collapse in prices on the market, but the cryptocurrency overcame this crisis, and the price of bitcoin began to rise again, and even reached $20,000.
On February 5, 2018, the news portal BTCManager reported that the Chinese authorities were taking measures to to stop the activities of local and foreign cryptocurrency platformsthat continue to exist in the country, including over-the-counter and peer-to-peer cryptocurrency trading platforms. Despite all the efforts of the government, citizens still find a way to engage in prohibited cryptocurrency trading.
March 10, 2018 authorities blocked the pages of crypto platforms on social networks, through which citizens continued to participate in ICOs and crypto trading.
Severe regulatory measures cannot be unrelated to the country’s intention to issue a national cryptocurrency. China is well aware of the undoubted advantages of blockchain money, and it has managed to create an unfavorable environment for decentralized currency. This way, if the country finally issues its digital yuan, the centralized cryptocurrency will not have to compete with other types of cryptocurrencies.
“The development of the digital economy needs a digital currency issued by a central bank more than ever.. It is extremely important to speed up its development and release,” said Yao Qian, development project manager of the People's Bank of China in November 2017.
Whether China likes it or not, the title of “cryptocurrency leader” has left the country forever, and it has become abundantly clear that nothing can stop the bitcoin revolution. You either join the bandwagon along with everyone else, or you are left behind alone.
According to https://btcmanager.com
You May Also Like
Crypto standards for the SEC. Will they be accepted?
A proposed framework for cryptocurrency regulation in the United States was released on Monday. Its provisions may become principles for future interaction between the SEC and the ICO market.
The SEC is ready to reconsider its decision regarding ETFs
The US Securities and Exchange Commission (SEC) decided to reconsider its decision on Wednesday to deny proposals for the creation of cryptocurrency ETFs.
