No, China didn’t ban Bitcoin and cryptocurrencies
The warm information this week is that China banned Bitcoin and different cryptos (again), in 2021. This article clarifies the location and sums up speedy that, no, China did now no longer ban crypto again.
No, China hasn’t banned Bitcoin again
What we know
Here’s the actual reality primarily based totally information. China issued a word ultimate Friday from the State Council, which objectives to clamp down on crypto exchanges and mining, especially because of capability dangers for purchasers and society in China.
A few days previous to the State Council word, the China Internet Finance Association warned the general public approximately the dangers of making an investment in cryptocurrencies, list 4 unique problems with cryptos they need to address:
Institutions need to apprehend the character of Bitcoin and virtual currencies.
Financial establishments need to now no longer interact in crypto-associated enterprise transactions.
China does now no longer provides criminal safety for crypto-associated funding contracts.
Financial establishments need to abide through present policies concerning virtual currencies.
Due to the State Council word, a few miners have determined to appear somewhere else for mining withinside the period in-between till the awareness is enforced. In addition, exchanges including OKEx have scaled returned a few products and services presented to Chinese nationals handiest. Any adjustments because of this word aren't impacting non-Chinese nationals, and could handiest have an effect on customers who live in China and use the Chinese forex renminbi.
Misreporting
We had been seeing a variety of rumors and misreporting this week because of the awareness and what's happening, for example, that China has “banned” crypto entirely (like in preceding years of rumors that China banned Bitcoin). This isn't the case. At this time, China goes to be extra strict on exchanges and mining operations, however, human beings can nevertheless use and preserve cryptocurrencies in general, along with Chinese nationals.
Lennix Lai, a director at OKEx, instructed the Wall Street Journal that China hasn’t outlawed the proudly owning of virtual currencies through its citizens. “People are allowed to mine bitcoins, they are able to switch bitcoins to others and settle their trade-in renminbi.” He additionally added, “there are a variety of bitcoin natives and believers in China.”