Cryptocurrency Exchanges Start Blocking Transactions From China

Virtual currency exchanges began to block transactions from China - Photo 1.

The Central Bank of China recently announced that all transactions related to virtual currencies are illegal – Photo (illustration): EPA

According to the newspaper Wall Street Journal, Huobi Global – one of the largest virtual currency exchanges in the world – said over the weekend that it will close all user accounts in mainland China by the end of this year.

Huobi Global made the above announcement in the context that a few days ago, the Central Bank of China announced that all transactions related to virtual currencies were illegal.

Huobi Global was founded in 2013 and is currently operated from offices in Singapore, Korea, USA and many other countries.

In the announcement just released, Huobi Global said that in the immediate future, it will stop allowing customers in mainland China to create new accounts on its exchange.

With existing accounts, this company will gradually stop operating from now until the end of the year to ensure the safety of customers’ assets.

In related developments, on September 27, another major virtual currency exchange, Binance, said that it had also recently started blocking new account registrations from users with Chinese mobile phone numbers.

Like Huobi, Binance was originally founded in China. Both companies are peer-to-peer (“peer-to-peer” trading platforms used in buying and selling virtual currencies that are not controlled by governments), connecting buyers and sellers. and sellers of cryptocurrencies that trade in yuan.

The Chinese government has continuously taken measures to control virtual currency-related activities, including banning domestic virtual currency transactions since 2017. Recently, Beijing has also drastically eliminated the “mining” situation. ” virtual currency and forcing the companies involved to move their computers out of China.

Before the government’s strict virtual currency management policies, many Chinese people still “circumvent the law” by buying and selling bitcoin and other virtual currencies on exchanges operating from outside China.

Korea takes action to suppress virtual currency exchanges Korea takes action to suppress virtual currency exchanges

TTO – Korean investors are expected to massively withdraw capital from virtual currency exchanges in the context that up to about two-thirds of these exchanges cannot operate before the new management regulations that take effect from the date of operation. 24-9.

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