The past few months have been all about the tide of the crypto market. The crypto community is still recovering from the numerous setbacks that it suffered through. The market has experienced dramatic shifts in both its value and the volume of its transactions. Despite the great news happening all around the world, the crypto space still has a long way to go before it will reach its pre-January 2018 peak. The dark times to be sure, but there is hope.
As crypto nears recovery and the markets crash and burn, a major crypto crackdown is moving to new sectors as the Chinese government cracks down on the industry. In particular, domestic cryptocurrency exchanges are facing increased scrutiny from regulators, who are looking to punish those that failed to comply with the government’s currency ban. In addition, the nation’s regulators have been proposing and implementing bans on the use of cryptocurrencies by companies operating in the nation’s technology and finance industries.
It’s been a wild ride so far in 2018, with the Bitcoin price seeing a rapid increase followed by a huge crash. The latest cryptocurrency blog roundup is here to bring you the latest updates on the digital currency market.. Read more about china crypto ban and let us know what you think.
This weekly collection of news from Mainland China, Taiwan, and Hong Kong aims to compile the most significant stories in the sector, such as prominent initiatives, legislative developments, and corporate blockchain integrations.
Outside of the financial world, China had a difficult week, with catastrophic floods in Zhengzhou and typhoon In-Fa wreaking havoc on towns surrounding Shanghai. Worse, a COVID-19 Delta-variant epidemic in Nanjing is now threatening to disturb the comparatively open lifestyle that people have enjoyed since the first outbreak was brought under control in early 2023 by rigorous anti-infection efforts.
The skyline of Shanghai (Pexels)
Is there trouble in paradise?
Government restrictions on IT and education firms in China drove local stock markets plummeting, which may have had an indirect influence in cryptocurrency values rebounding sharply. The reminder that authorities may abruptly destroy an industry may erode A-shares owners’ trust, causing more money to flow to alternative assets such as Bitcoin. In any case, the government has a lot on its plate right now, so cryptocurrencies shouldn’t be a top priority.
Buying and selling rumors ahead of time
Huobi and OKEx both experienced gains in volume for the second week in a straight, continuing the pattern. Despite speculations that additional exchange crackdowns are on the horizon, things have remained calm on the regulatory front. Both OKEx and Huobi’s platform tokens have made significant gains. Investors wondered whether the worst of the regulatory action was behind them when HT, which had fallen about 80% since mid-May, unexpectedly regained around 45 percent. At the very least, the speculations are getting more priced in, implying that there is less to worry from fresh disclosures.
Huobi alluded to their forthcoming PrimePool, which would enable users to mine the tokens of new projects using HT or other currencies, as one of the triggers for the announcement. The Axie token AXS was a popular asset to trade for the most of the week, staying in the top five on Huobi. Although initiatives like Polygon are still aggressively promoting the metaverse trend in China, NFT gaming has yet to truly take off.
scrubbing the slate
Huobi announced the dissolution of its China-based company on July 27. This action may be a step toward breaking free from Chinese authorities, since virtually all activities have moved abroad. Huobi claimed that it was the entity registered in Beijing in 2013 and that it was not Huobi Global’s current operational business. OKEx is also in the process of dissolving a previously registered business, according to the same report.
With the majority of miners and exchanges already operating outside of China’s supervision, future regulations can only focus on retail cryptocurrency trading and use. Bobby Lee, the founder of one of China’s first Bitcoin exchanges, spoke on the prospect of a complete ban, predicting that it might happen in the next 4-5 years. Lee is currently the CEO of Ballet, a bitcoin wallet business, and he continues to be a prominent player in the industry.
In search of better pastures
In an interview with SCB 10X, Binance’s CZ said that he is searching for a new Binance CEO with a “very good regulatory experience.” CZ initially announced his resignation earlier this year, stating that he wanted to step down as CEO during the next two to five years in order to concentrate solely on building the Binance Smart Chain ecosystem, and his intentions to “step down” seem to have accelerated.
At the World Blockchain Conference, Vitalik Buterin makes a virtual presence (Source: Ben Yorke)
What’s going on in Hangzhou?
On July 24 and 25, the World Blockchain Conference was held in Hangzhou, a rapidly growing tech area. With an emphasis on blockchain technology and technical advancement, this is one of the bigger events on the blockchain calendar, and it has the backing of local government groups. Due to digital keynotes from speakers like Vitalik Buterin and Sam Bankman-Fried, the event generated a lot of buzz leading up to it. The closeness of Typhoon In-Fa, on the other hand, resulted in a smaller attendance and more muted activities. Buterin outlined his vision for Ethereum’s future, offering a bold image of what’s to come. Avalanche, a smart contract platform, and ImToken, a prominent DeFi wallet, both hosted side events in Hangzhou.
CBDCs may be added to the mix.
According to a report on People.cn, Shenzhen residents may now use the e-CNY on buses and subways. Citizens are urged to actively utilize the central bank’s digital money for “green” travel on public transit. Citizens enter or leave the vehicle or station by scanning the code on the local transportation app. Citizens may use the e CNY to top up their local travel cards at the same time.
President of ASI Rich Checkan, who claimed earlier this week that CBDCs were “concocted in hell by Satan himself,” would not be pleased with this revelation. His harsh comments are presumably targeted at nations like China, where the government is heavily involved in both financial institutions and the technology industry.
September has been a month of mixed results for cryptocurrencies. Prices are up across the board, but suffering from heavy selloffs at times, and overall it has been a month of volatility. A large reason is the continued crackdown on cryptocurrencies in China. The country’s largest exchanges have been told to stop operating in the country, thereby reducing demand for cryptocurrencies. However, other factors are at play here, like bad performance by some of the top altcoins.. Read more about bitcoin whales selling and let us know what you think.
Related Tags
This article broadly covered the following related topics:
- china crypto ban
- vechain china news
- crypto transactions over $10k
- these three cryptocurrencies weathered the storm
- bitcoin whales selling
