2 min read

No Ban After All as China will Likely not Ban Bitcoin Exchanges

By Editorial Team

Was it all FUD? Was China ever really considering banning Bitcoin exchanges or was it just people who were spreading rumours based on insufficient information. There were conflicting reports by exchanges, government officials and others.

These rumours were also perpetuated by some large organisations such as Caixin news agency in China and the Wall Street Journal / Bloomberg in the USA.

This caused large scale sell offs across the Crypto markets as many people believed that this would severely dampen the demand for crypto currency trading globally. Right after this was reported, there were snarky comments by Jamie Dimon who likened Bitcoin to a fraud. This further reinforced the decline in prices.

On the 13th of September, China’s National Internet Finance Association (NIFA) released a statement that claimed currently, Bitcoin exchanges do not have the authority to operate. However, the Peoples Bank of China and NIFA have no intention of banning Bitcoin exchanges.

The eventual intention of these regulators is to release a licensing program that will provide the Chinese exchanges with the regulatory framework which will allow them to operate. One can therefore conclude that the exchanges will receive notifications to implement regulatory changes but will not be ordered to shut down.

Positive Developments?

This could be a positive development for the Crypto Currency market. If there are regulations that are instituted then it would give many of the people who are sitting on the side a new reason to invest in the crypto currency.

According to a number of local news publications in China, they believe that the ban will also only apply to those projects that are disreputable and are not up to industry standards. Some of the largest exchanges such as OKCoin, BTCC and Huobi will probably be eligible to apply for the licences when the government officially releases the new regulations.

Moreover, according to local news sources, the PBoC and NIFA have clarified that bitcoin is not being “banned” and the Chinese government will be providing further guidance in the upcoming months. If there are any Bitcoin exchanges that have not instituted the adequate Anti Money Laundering and KYC (Know Your Customer) protocols, they are at risk of falling foul with potential laws and could be suspended.

Featured Image via Fotolia

Editors at large. Posting the latest news, reviews and analysis to hit the blockchain.
View all posts by Editorial Team -> Best Crypto Deals ->

Latest Posts

Trader Joe Review
Trader Joe Review 2022: Complete Guide to the Top DEX on Avalanche
Trader Joe Review

Trader Joe Review 2022: Complete Guide to the Top DEX on Avalanche

July 2, 2022 30 min read
Huobi Global Review
Huobi Global Review 2022: Good Exchange with DEEP Liquidity
Huobi Global Review

Huobi Global Review 2022: Good Exchange with DEEP Liquidity

June 29, 2022 37 min read
FTX vs FTX US Review
FTX vs FTX US: Which one is BEST for You?
FTX vs FTX US Review

FTX vs FTX US: Which one is BEST for You?

June 27, 2022 14 min read
Bancor Review
Bancor Review: Impermanent Loss Protector?
Bancor Review

Bancor Review: Impermanent Loss Protector?

June 22, 2022 15 min read
Bridge Mutual Review
Bridge Mutual: Insurance for your Crypto
Bridge Mutual Review

Bridge Mutual: Insurance for your Crypto

June 22nd, 2022 22 min read
Serum Review
Serum Review: Solana’s One-Stop DeFi Toolbelt
Serum Review

Serum Review: Solana’s One-Stop DeFi Toolbelt

June 16, 2022 17 min read
Raydium Review: Solana’s DeFi Liquidity Mammoth

Raydium Review: Solana’s DeFi Liquidity Mammoth

June 11, 2022 17 min read

Related Posts

Trader Joe Review
Trader Joe Review 2022: Complete Guide to the Top DEX on Avalanche
Trader Joe Review

Trader Joe Review 2022: Complete Guide to the Top DEX on Avalanche

July 2, 2022 30 min read
Huobi Global Review
Huobi Global Review 2022: Good Exchange with DEEP Liquidity
Huobi Global Review

Huobi Global Review 2022: Good Exchange with DEEP Liquidity

June 29, 2022 37 min read
FTX vs FTX US Review
FTX vs FTX US: Which one is BEST for You?
FTX vs FTX US Review

FTX vs FTX US: Which one is BEST for You?

June 27, 2022 14 min read
Bancor Review
Bancor Review: Impermanent Loss Protector?
Bancor Review

Bancor Review: Impermanent Loss Protector?

June 22, 2022 15 min read
Bridge Mutual Review
Bridge Mutual: Insurance for your Crypto
Bridge Mutual Review

Bridge Mutual: Insurance for your Crypto

June 22nd, 2022 22 min read
Serum Review
Serum Review: Solana’s One-Stop DeFi Toolbelt
Serum Review

Serum Review: Solana’s One-Stop DeFi Toolbelt

June 16, 2022 17 min read
crypto com
Crypto.com Exchange Review 2022: A World-Class Crypto Exchange
crypto com

Crypto.com Exchange Review 2022: A World-Class Crypto Exchange

June 14th, 2022 30 min read