BTCC to Cease China Trading

Following last week's ICO ban, the People's Bank of China (PBOC) has ordered BTCC, one of the 3 main Bitcoin exchanges in China, to shut down. The reasoning behind this order isn't entirely clear at present - some believe the closure portends a total crackdown on all crypto trading in China, while others think enforcement action will remain isolated to BTCC due to their having issued a token earlier. What is clear is that the level of regulatory scrutiny around cryptos in China has markedly increased in recent weeks. Given the disruptive potential of this technology, regulation was bound to happen eventually. Further, this week is the 19th Nation Congress of the Community of China, which is a very politically sensitive event during which the government works overtime to ensure stability. Another factor to keep in mind when thinking about the cyrpto space in China is the fact that 60%+ of Bitcoin miners are located in China. 


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