If you’re struggling to keep up with the events in China regarding the new moves to totally ban cryptocurrency in the country we can sympathise with you. As it stands, China have very much fallen off the fence and are now going hard against cryptocurrencies. This came with no warning or no real justification, it just seems that authorities in China have decided that crypto will be no more and for the time being, the outlook for the community there is bleak at best.
To recap, last week, the Chinese government made moves to ban and remove cryptocurrency and blockchain related content on Chinese social media, WeChat. As it stands, accounts sharing cryptocurrency news will be banned from the media channel. Next, Chinese authorities blocked access to over 100 cryptocurrency exchanges in the country, making it very difficult for people in China to actually access cryptocurrency exchanges (though as you know, some investment was already illegal). Alipay, a project owned by Chinese giants Alibaba has also made it clear that they will be blocking any accounts seen to be dealing in cryptocurrencies and Chinese web giants Baidu has also moved to ban cryptocurrency related forums and discussions.
Next up, authorities in Beijing decided to ban any venues (hotels, bars etc) from hosting any cryptocurrency related events or conferences. Most recently, Chinese financial authorities have also added ICO’s and Token Sales to their online reporting platform, a platform that is used to encourage Chinese citizens to report instances of financial crime and illegal financial activity. As it stands, ICO’s and Token Sales are now a part of this.
Most recent developments
The Guangzhou Development District, a special economic zone in China (not far from Hong Kong) is the next to ban any cryptocurrency or blockchain events taking place, in the same way authorities in Beijing did last week. As a special economic zone, Guangzhou is an area designed to foster financial technologies to allow them to grow, this new ruling though will no doubt cause a number of companies in the district great problems. It’s almost as if this has been designed to totally drive crypto and blockchain companies out of the district.
We can only expect more of these rulings to roll out across the country until hosting any sort of crypto or blockchain event in China will officially become an illegal activity. When this happens, we should also expect that cryptocurrency investment in general will become illegal. China are clamping down hard and it looks that now, there’s not an awful lot of time left for the industry in the country.