The Worst of the Middle Kingdom – In recent months, the Chinese government has stepped up its crackdown on the crypto industry in an effort to eliminate the industry’s presence in the country. These restrictions have had a negative impact on the cryptocurrency industry, with Bitcoin (BTC
) losing more than half of its value in a matter of weeks. As a result of the nationwide crackdown, the Bitcoin blockchain has seen four consecutive readjustments in mining difficulty for the first time in its history. But the Chinese authorities don’t plan to stop there.
After banning miners, protecting consumers
an August 27 press briefing, deputy director of the People’s Bank of China
(PBoC) Investor Rights Protection Office Yin Youping said that digital assets are nothing more than mere speculative assets. During his speech, Youping urged investors to protect their capital by staying away from the digital asset market.
“We once again remind the general public that digital currencies such as bitcoin are not legal tender and also have no real value.”
Yin Youping of the PBoC’s Investor Rights Protection Office
According to Youping, investment in digital assets is purely a fad that will soon fall out of fashion. Therefore, the Chinese people should its knowledge of the risks and stay away from cryptocurrency investments.
For once, this umpteenth hostile diatribe to digital assets has had absolutely no impact on the market for them, which seems to want to go back up for a few weeks. Indeed, the news of Youping’s speech broke on the morning of August 27, but had no visible influence on the market. Worse, Bitcoin offered us two nice bullish candles in the next 24 hours.
<img src=”//www.w3.org/2000/svg’%20viewBox=’0%200%200%200’%3E%3C/svg%3E” alt=’Tweet from Hellmouth Banner signifying the indifference with which the market greeted this new People’s Bank of China announcement. ” /><img src=”https://yellowrocketagency.com/wp-content/uploads/2021/08/image-62-1..jpg” alt=’Tweet from Hellmouth Banner signifying indifference with which the market greeted this new announcement from the People’s Bank of China. ” /> <p>So we are a far cry from the <a href=”https://journalducoin.com/actualites/sichuan-coupe-electricite-mineurs-bitcoins/” target=”_blank” rel=”noopener”>panic phases</a> that China’s announcements generated during May.</p> <a href=”https://journalducoin-com.exactdn.com/wp-content/uploads/2021/08/BTCUSD_2021-08-30_14-52-02.png?strip=all&lossy=1&quality=66&ssl=1″ target=”_blank” rel=”noopener”><img width=”1503″ height=”868″ src=”//www.w3.org/2000/svg’%20viewBox=’0%200%201503%20868’%3E%3C/svg%3E” alt=’Bitcoin price in unit of time one hour showing lack of market reaction to China’s announcement” /><img width=”1503″ height=”868″ src=”https://yellowrocketagency.com/wp-content/uploads/2021/08/BTCUSD_2021-08-30_14-52-02..png” alt=’Bitcoin price in one hour time unit showing lack of market reaction to China’s announcement” /></a>Bitcoin price in one hour time unit (1H) – Source: TradingView <p><a href=”https://journalducoin.com/AscendEx/CTA1″ target=”_blank” rel=”noopener”>>> Does trading bitcoin and crypto currencies without breaking the bank appeal to you? Ascendex is opening its arms to you <<</a></p> <h2>Bitcoin and cryptocurrency trading still active in China despite bans </h2> <p>Youping added that the PBoC was taking drastic measures to stop cryptocurrency trading in China. The central bank is expected to soon introduce a system that will standardize the crackdown on cryptocurrency-related trading, encouraging the general public to promptly report any such activity.</p> <p>At the same time, the PBoC intends to intensify its policy of censoring websites, apps and companies that still allow Chinese citizens to trade digital assets. Finally, China’s central bank also wants to combat illegal fundraising that cryptocurrencies and blockchains promote. </p> <p>The reason China is still cracking down on digital asset trading is because Chinese traders have picked up activity in 2021, despite repeated bans. Indeed, many media outlets, including <em>Reuters</em> and the <em>South China Morning Post</em>, have noted a resurgence in activity by Chinese traders. </p> <p>Although exchanges like OKEx and Huobi have fled China and <a href=”https://journalducoin.com/exchanges/actualites-exchanges/lesquive-binance-rend-fou-gendarme-financier-britannique/” target=”_self” rel=”noopener”>Binance</a> and MXC prohibit the use of the yuan on their platforms, Chinese traders are still finding ways to access the precious satoshis, much to the displeasure of authorities. Indeed, the advent of <a href=”https://journalducoin.com/guide/tether-avis-usdt/” target=”_blank” rel=”noopener”>stablecoins like USDT</a> allows traders to dispense with their reference currency to conduct crypto trades.</p> <p>Finally, since 2017, the over-the-counter market has grown strongly in China. Regardless of the field, every new ban creates “shadow trades.” In China, there are, or at least there were until last May, intermediaries responsible for marketing Chinese miners’ bitcoins to individuals. <a href=”https://journalducoin.com/actualites/afrique-continent-bitcoin-gagner/” target=”_self” rel=”noopener”>This <em>peer-to-peer</em></a> market is extremely difficult to pin down, which is why digital asset trading is still happening in China. </p> <p><em>China can gesture all they want, but nothing and no one can stop you from getting on board the Bitcoin revolution! And if you’re reading this, it’s probably not too late to take advantage of an amazing offer reserved by Ascendex for the<a href=”https://journalducoin.com/AscendEx/CTA” target=”_self” rel=”noopener”> first 400 uYouwill be able to get a discount on your trading fees and an additional $5 airdrop (affiliate link). In addition to receiving a 10% discount on their trading fees, you will be offered an additional $5 airdrop (affiliate link, subject to trading at least $100, see conditions on site)