Dec 09, · Market Wrap: Bitcoin Dumps to $K; ETH Affected Ether Locked in DeFi. China, Bitcoin, Taxes, Stablecoins and More. While has been a very difficult year, it Author: Henri Arslanian. Dec 12, · For many years, China has consistently been a major market for bitcoin miners due to its cheap electricity and affordable resources. Companies like . BTCC is China's second largest Bitcoin exchange and the longest-running Bitcoin exchange in the world. You can fund your exchange account online via bank transfer.
Chinese bitcoin marketThe Bitcoin market in America and China: A comparison - Blockmanity
The nature of the blockchain does not give any real clues as to the country of origin of any wallet's holder. Bitcoin's pseudonymity also makes it hard - or impossible, without special tools - to tie together a user's multiple wallets, or to determine what percentage of coins are irrevocably lost.
While many of the largest exchanges are Chinese - Binance, Huobi, and OKex are the largest exchanges either founded or currently operating out of China - they all serve clients from around the world. The Chinese government has given no indication that it holds any Bitcoin, nor would its recent attitude towards crypto suggest that it would be likely to divulge that sort of information.
This all makes it very difficult to get an accurate idea of how much Bitcoin China or Chinese residents own. It's simple to find out what would happen if China bans Bitcoin mining: it's happened a couple of times in the past. China's back-and-forth attitude to Bitcoin has put miners under stress. While mining has and hasn't been banned in China at different points over the last decade, miners have continued to operate. The effects of the ban are more of a removal of official privileges rather than an outright cessation of activity.
For example, in August 21 Bitcoin miners in Inner Mongolia had their ability to buy and sell excess energy on the local energy market revoked. This effectively stripped them of the discount that helped make their operations profitable. It was the regional government that ordered this crackdown, rather than the CCP itself, though the local authorities were clearly acting with the state government's recent proclamations in mind.
Interestingly, one of the firms that was blacklisted was the Inner Mongolia department of China Telecom, which suggests that some state-affiliated enterprises are getting in on mining. The suspension came after government inspections revealed that of the 30 "cloud computing service providers" in the area, 21 of them were actually crypto mining farms. This reaction shows that China is less interested in eliminating Bitcoin mining than it is in controlling it.
If China truly did ban Bitcoin mining once and for all, there would be a large effect on the hashrate, which would drop significantly in the short-term. This would create a price incentive for miners to move or start up businesses elsewhere with cheap energy and favorable regulations, bringing the hash rate back up in the medium to long-term. For the moment, Bitcoin mining is alive and mostly well in China, with new operations opening frequently.
You can check the price of Bitcoin in China by visiting any Chinese exchange and seeing what the last price the asset sold for was. Alternatively, there are a range of market reporting tools out there such as CoinGecko which aggregate information from a list of the largest exchanges.
These list the "official" price, non-inclusive of fees and premiums that Chinese customers may have to pay. As cnLedger explains, the easiest way to buy Bitcoin after the ban is to buy a stablecoin OTC, which is legal in China and can then be sent to any exchange in the world to buy Bitcoin or any other crypto. Coinbase has announced no plans to open up an offering for Chinese residents.
The exchange is however available for Hong Kong residents, for the time being. Hong Kong users can only convert between cryptocurrencies on their account, there is no support for fiat on- or off-ramps.
Bitcoin ATMs are not very widespread in China. Yet there are zero listed for mainland China, meaning you'll have to do some more digging if you want to find one. In fact, it currently sits in the lobby of BTC China's headquarters, as a memory of times gone by.
China, then, is not a haven of Bitcoin ATMs. If you're in mainland China and really need to access one, your best bet is going to Hong Kong or further abroad. With Bitcoin ATMs almost non-existent and crypto-to-fiat withdrawals difficult, when not illegal, the options are limited. As outlined above, there is a decent amount of Chinese yuan liquidity on LocalBitcoins , meaning that this could be an effective method for cashing out.
It's for this reason that Hong Kong residents who are eager to get their savings out of the legacy banking system are trading BTC and USDT on physical wallets, paper and hardware. Huobi also offers a peer-to-peer P2P marketplace, similar to LocalBitcoins. The majority of offers request Alipay as the payment method. As it is still not officially approved in China, be sure to take care when buying or selling any cryptocurrencies.
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Coinmama Works in almost all countries Highest limits for buying bitcoins with a credit card Reliable and trusted broker. Coinmama Popular. Ease of Use. Kraken Buy Bitcoin Read Review Founded mid, Kraken is the one of the world's largest cryptocurrency exchanges, and the largest in Europe based on daily average trading volume. LocalBitcoins Popular. Chinese regulators also came down hard on Peer-to-Peer P2P loans, trusts, and non-bank financial institutions.
In short, regulators sought to minimize financial risks befalling the country. Always in motion is the future , according to the wise Yoda. True words, which essentially mean that the future is yet unwritten, and therefore, cannot be accurately predicted. China, however, offers a different story, one that does not bode well for the future of Bitcoin there. The above article is written by guest author Kevin Wilson.
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Get the latest news on Blockchain only on Blockmanity. Subscribe to us on Google news and do follow us on Twitter Blockmanity. Over 15 exchanges, including the three largest players OkCoin, Huobi and BTCChina, have since announced that they will close their mainland businesses by the end of September. Trading has spiked generally on peer-to-peer marketplaces, according to data website Coindance.
It hit an all-time-high in the week starting Sept. Volumes on Paxful, another smaller marketplace, also jumped to 1.
Michael Foster, co-founder of localethereum. Some said they were still seeing overseas-based ICOs being marketed in China.