BTCC Leaves the Bitcoin Business Amid Chinese Government Crackdown

Azeez Mustapha

Updated:

UNLOCK DAILY FOREX SIGNALS

Select a Plan

£40

 1-month subscription

Select

£30

 3-month subscription

Select

£21.5

 6-month subscription

Select

£399

 lifetime subscription

Select

£50

 Separate Swing Trading Group

Select

Or

Get VIP forex signals, VIP crypto signals, swing signals, and forex course free for lifetime.

Just open an account with one our affiliate broker and make a minimum deposit: 250 USD.

Email [email protected] with a screenshot of funds on account to get access!

Sponsored by

Sponsored Sponsored

Checkmark

Service for copy trading. Our Algo automatically opens and closes trades.

Checkmark

The L2T Algo provides highly profitable signals with minimal risk.

Checkmark

24/7 cryptocurrency trading. While you sleep, we trade.

Checkmark

10 minute setup with substantial advantages. The manual is provided with the purchase.

Checkmark

79% Success rate. Our outcomes will excite you.

Checkmark

Up to 70 trades per month. There are more than 5 pairs available.

Checkmark

Monthly subscriptions begin at £58.


BTCC, the company behind one of the most prolific exchanges in Asia, has announced that it has ended its cryptocurrency-related operations. The company noted that it sold all its shares in the Singapore exchange ZG.com in May 2020. Most cryptocurrency exchanges quartered in China fled to other countries during the first crypto crackdown in 2017.

However, the government appears to be tightening its grip on the crypto industry to prevent losing the capital tied to the industry. The People’s Bank of China has set its eyes on over-the-counter (OTC) businesses and cryptocurrency-related accounts. According to local reports, P2P and OTC businesses of interest will have their accounts frozen. This inhibition will likely affect cryptocurrency brokers in the country.

That said, a branch of BTCC operating in Hong Kong has issued a statement noting that the crackdown would not affect them. The offshoot asserted that the restrictions in Mainland China would not distort its cash flow. The company stated that:

“BTCC [Hong Kong] is not impacted for now because BTCC doesn’t provide trading of cryptocurrencies, but derivatives of cryptocurrencies.”

BTCC Is Pivoting to Blockchain App Development

BTCC stated that its attention has now shifted to developing blockchain-based applications. The Chinese government wholly supports using blockchain and has made it one of its primary focuses in its fourth industrial revolution program.

While cryptocurrency exchanges are under pressure from the Chinese government, miners are having a worse time. Over the past few months, the government has shut down several mining facilities and has issued mining bans in most of its largest provinces. This clampdown has affected the global mining work rate, as miners seek shelters in more hospitable regions.

Some provinces that have issued warnings or have banned mining activities altogether include Inner Mongolia, Sichuan, and Yunan.

Consequently, the inhibitive actions against the crypto mining industry have had a debilitating effect on the Bitcoin network. BTC hashrate has remained inconsistent for some weeks now. At press time, Bitcoin’s hashrate is at 67.9 EH/s after dropping by over 28% over the past 24 hours. The Bitcoin hashrate is down by about 65% from its all-time high of 191 EH/s in May.

 

You can purchase crypto coins here: Buy Tokens

  • Broker
  • Benefits
  • Min Deposit
  • Score
  • Visit Broker
  • Award-winning Cryptocurrency trading platform
  • $100 minimum deposit,
  • FCA & Cysec regulated
$100 Min Deposit
9.8
  • 20% welcome bonus of upto $10,000
  • Minimum deposit $100
  • Verify your account before the bonus is credited
$100 Min Deposit
9
  • Over 100 different financial products
  • Invest from as little as $10
  • Same-day withdrawal is possible
$250 Min Deposit
9.8
  • The Lowest Trading Costs
  • 50% Welcome Bonus
  • Award-winning 24 Hour Support
$200 Min Deposit
9
  • Fund Moneta Markets account with a minimum of $250
  • Opt in using the form to claim your 50% deposit bonus
$250 Min Deposit
9

Share with other traders!

Azeez Mustapha

Azeez Mustapha is a trading professional, currency analyst, signals strategist, and funds manager with over ten years of experience within the financial field. As a blogger and finance author, he helps investors understand complex financial concepts, improve their investing skills, and learn how to manage their money.

Leave a Reply

Your email address will not be published. Required fields are marked *