China Slated To Ban Cryptocurrencies

In recent months, China has made clear its plans to target cryptocurrencies by striking them at their source – at the level of cryptocurrency trading platforms. While crypto exchanges...

In recent months, China has made clear its plans to target cryptocurrencies by striking them at their source – at the level of cryptocurrency trading platforms.

While crypto exchanges won’t be directly harmed, they won’t be able to benefit from economic activity from the world’s most populated country.

The Chinese government also said it was interested in cracking down on businesses and individuals that offered services related to trading, even if didn’t actually facilitate the exchange of digital currencies.

The History Of China Not Allowing Citizens To Be Involved In Activity Related To The Internet

It’s known that the Chinese government employs between 30,000 and 50,000 individuals as “Internet police,” whose sole purpose is to enforce a heavy book of Chinese legislation against free use of the Internet.

China’s complete, uncensored book of laws, guidelines, and restrictions related to the Internet is too long to describe in detail herein, though one of the country’s most central ideas to restricting Internet usage by Chinese citizens is by blocking rivals from around the world from competing within China’s digital marketplace.

Domestic competition on the World Wide Web is undeniably positive for the country’s own economy, though blocking any portion of the Internet is not acceptable for its citizens, by any means.

Regardless of the morality, ethicality, or justness of Internet censorship in China, the aforementioned legal environment within the country effectively created a platform in which cryptocurrency activity could easily be blocked, without fuss.

In 2017, A War Against Cryptocurrencies Formally Started

In 2017, initial coin offerings became commonplace for new cryptocurrencies across the world. To many people’s and businesses’ surprise, China decided to ban all initial coin offerings, as well as wreck all cryptocurrency exchanges operating within China’s mainland.

China’s actions have undeniably given South Korea the confidence to ban cryptocurrency trading through popular exchanges, as well, likely causing the price of Bitcoin and other popular cryptocurrencies to stagnate.

Monday, January 15th, 2018 Marks The First Date Of This New Knowledge

The Chinese government made public that it would crack down on both web pages and mobile apps offering services even remotely similar to cryptocurrency exchanges on Monday, January 15th, 2018.

This announcement came just months after China’s decision to ban all initial coin offerings, effectively stifling new tech businesses’ chance at growing within the country, something most developed countries around the planet don’t engage in.

Categories
Ban CryptocurrenciesCryptocurrencyCryptocurrency Markets

RELATED BY