China's Bitcoin Crackdown 2021: What You Need to Know

Crypto prices are in free fall. Bitcoin hash rate has dropped. And Bitcoin miners are frantically shipping their kits outside of China. It all happens against the backdrop of China's renewed crackdown on cryptocurrency. But what is the scale of China's measures and are they alarming or are they the same? China's crackdown on crypto Over the past week, crypto miners in China have been told to close their stores, while the country's central bank issued a statement to payment platforms and banks to cease their cryptocurrency transactions. Institutions have also been told to stop serving crypto exchanges and over-the-counter (OTC) platforms. Pressure picked up in May and June, with mixed reactions from analysts and insiders, especially those who have been here before. "This is further proof of China's tougher stance on crypto, from financial regulations to the energy needs of Bitcoin mining," Jonathan Cheesman, head of institutional sales at OTC and crypto derivatives exchange FTX, told Bloomberg. "Mining was the first stage and speculation was the second stage." Chinese news is not good. Xi is an authoritarian leader who wants to control everything. $BTC is the opposite of authoritarianism. Chinese citizens will always find a way to move assets out of the system, but they make it harder. It will take some time to play. Keep your faith. — Mike Novogratz (@novogratz) June 21, 2021 “[Chinese] news is not good. Xi is an authoritarian leader who wants to control everything. $BTC is the opposite of authoritarianism,” tweeted Mike Novogratz, CEO of Galaxy Digital. "[It] will take some time to play," he warned. What's behind the repression in China? Crypto operates in a gray zone in China. Over the years, the industry has had to figure out how to stay on the right side of the red line that defines sensitive issues like capital outflows and internet gambling. Just get Huobi and OKEx: both work on a central b

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