China’s Crypto Ban Proven Ineffective, What Can Other Nations Learn?

2023-5-8 12:38

China has been under a blanket crypto ban since September 2021, but it has not stopped its citizens from buying and selling digital assets.

A recent report by Bloomberg found that a lot of Chinese investors were making credit claims from the FTX crypto exchange, despite a crypto ban in the country. Meanwhile, Binance and OKX also reported significant usage by Chinese citizens.

Crypto Ban in China Difficult to Enforce

The report found that 8% of FTX claims come from Chinese users, accounting for over 9 million customer accounts.

The crypto ban has either been ineffective or loosely enforced, according to Caroline Malcolm, global head of public policy at Chainalysis. Malcolm stated,

“The decentralized nature of cryptocurrencies and the fact that they can be transferred peer-to-peer and traded on global exchanges make it difficult for any government to completely eliminate them.”

Industry insiders also disclosed that they used Chinese identities on leading exchanges to pass know-your-customer requirements. Another significant cryptocurrency exchange, Huobi Global, apparently catered to Chinese users. Many reportedly had the chance to apply for a ‘digital identity’ with the Dominican Republic to bypass the restriction.

Chinese regulators issued a blanket ban on all cryptocurrency transactions and mining back in September 2021. This was the first time government agencies jointly banned all cryptocurrency-related activity in any region. It intensified a debate around how to regulate web3.

Other Nations Explore Partial Bans

The Reserve Bank of India is another advocate of a blanket crypto ban, although it has not yet followed through. In February, Governor Shaktikanta Das announced that some members of the G20 had suggested considering a complete ban on cryptocurrencies. However, officials from the finance ministries and central bankers of G20 nations appeared to be in accord on regulating crypto assets, with a total ban being considered.

Other countries are banning select activities using crypto to combat financial fraud. The UK, for example, outlawed cold calling to market cryptocurrency and other financial products. To lessen the country’s exposure to digital assets in its payment system, Argentina’s central bank prohibited payment companies from enabling crypto transactions in a circular last week. Therefore, partial bans could be worth enforcing. 

Several countries continue to be concerned about the risks of cryptocurrency. China recently announced standards for handling crypto-related financial trials. The proposal asserts that crypto assets have some characteristics of virtual network property and seeks to stop what China considers a dangerous activity.

Meanwhile, Hong Kong is trying to attract Chinese crypto firms. It is making an attempt to become more of a financial hub and an “international virtual asset center.” Despite the crypto ban in China, businesses have found ways to operate in Hong Kong. Hong Kong’s Securities and Futures Commission (SFC) is expected to release guidelines on the licensing regime for virtual-asset exchanges this month.

The post China’s Crypto Ban Proven Ineffective, What Can Other Nations Learn? appeared first on BeInCrypto.

Similar to Notcoin - Blum - Airdrops In 2024

origin »

Emerald Crypto (EMD) íà Currencies.ru

$ 0 (+0.00%)
Îáúåì 24H $0
Èçìåíåèÿ 24h: 0.00 %, 7d: 4.67 %
Cåãîäíÿ L: $0 - H: $0
Êàïèòàëèçàöèÿ $0 Rank 99999
Öåíà â ÷àñ íîâîñòè $ 0.0095806 (-100%)

china ban crypto nations learn proven ineffective

china ban → Ðåçóëüòàòîâ: 126


Ôîòî:

China Giving Crypto Power Back To The People, Sort Of

Last week, Chinese authorities made their vision on cryptocurrencies very clear, as new movements took hold across the country banning certain aspects of the industry, including the spread of crypto news on social media giants, WeChat, a block on over 100 cryptocurrency exchanges via Chinese internet and even a ban on event venues in Beijing hosting cryptocurrency and blockchain related events and conferences.

2018-8-28 15:00


Ôîòî:

OTC Cryptocurrency Traders in Trouble as Alipay Starts Monitoring Crypto-linked Payments in China

According to a Beijing News report on August 24, 2018, regulators have pledged to start scrutinizing and restricting all virtual currency-related payments on the Alipay mobile app. Even with the blanket ban on cryptocurrency trading and initial coin offerings (ICOs), Chinese investors still engage in over-the-counter bitcoin trading facilitated by payments apps such as Alipay and others.

2018-8-25 19:00


Ôîòî:

Bitcoin at $60K Matter of ‘When,’ Not ‘If’ — Says Bobby Lee

As China beefs up its cryptocurrency ban and US regulators reject more Bitcoin ETFs, famous faces are reaffirming their beliefs that Bitcoin prices could still hit up to $60,000 by 2020. ‘More Stability, Liquidity And Faster Adoption’ In the face of several regulatory setbacks for Bitcoin this week, BTCC co-founder Bobby Lee and Fundstrat Global Advisors’ Tom Lee both went on record in recent days to forecast a turnaround in the fortunes of the largest Read More The post Bitcoin at $60K Matter of ‘When,’ Not ‘If’ — Says Bobby Lee appeared first on Bitcoinist.com.

2018-8-25 19:00


Ôîòî:

China Escalates Cryptocurrency Ban Blocking 124 Offshore Exchanges

China will shortly block access to over one hundred international cryptocurrency exchanges and other platforms as the government’s crackdown escalates, local news media report August 23. Beijing On Crypto: We’ll Continue To Ban Everything According to the South China Morning Post quoting Chinese language resource Shanghai Securities News, lawmakers will shut down availability of 124 “websites operated by offshore cryptocurrency exchanges that provide trading services to citizens on the mainland.

2018-8-23 19:00


Ôîòî:

Is Crypto In China About To Hit A Brick Wall?

In two days, we have seen three significant news pieces out of China that all point towards an all out ban on cryptocurrencies from Chinese authorities. As it stands in China, some aspects of crypto are banned and others are totally legal, however it seems that new regulations are coming into force by the day, regulations that are going to put an awful lot of pressure on the crypto community within China.

2018-8-23 17:30


Ôîòî:

China Officially Bans All Crypto-Related Commercial Activities

China’s most popular messaging app, WeChat, has been asked to shut down the accounts of several blockchain and crypto-related news outlets as new regulations are enforced.   China Makes Ban Official According to the latest tweet by Dovey Wan — the Managing Director of Dhanua Capital, a California-based venture capital fund — the Chinese government authorities have released an official order asking to ban all the cryptocurrency-related commercial activities and events.

2018-8-22 21:00


Ôîòî:

China Maintains Tight Stance on Cryptocurrencies: Official States ICOs Will be “Crushed”

After announcing a blanket ban on cryptocurrencies in September 2017, China’s central bank publicly called the move a success on July 7, 2018. Unauthorized Financial Products Will be “Crushed” On July 9, 2018, Yicai reported the statements of Pan Gongsheng, head of the Internet Finance Rectification Working Group, who noted that the country still holds a pessimistic view of ICOs,.

2018-7-12 08:00