Asia’s Richest Man Backs Bitcoin Despite PBOC Restrictions

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Asia’s Richest Man Backs Bitcoin Despite PBOC Restrictions

Richest man in Asia, Li Ka-shing has made up his mind about putting his money on bitcoin. The billionaire has moved an undisclosed amount into BitPay through Horizon Ventures. BitPay processes payments in digital currencies.

Lately, BitPay generated up to $30 million in a round of funding from eight different investors, which included Li Ka shing’s Horizons Venture, a venture capitalist company.

“Bitcoin is a borderless and frictionless payment system, which is nearing a tipping-point moment in terms of merchant adoption,” co-founder of BitPay Tony Gallipi is quoted by Coinreport as saying.

Gallipi also said that, while other means of payment processing such as credit cards are associated with higher fees and risks of fraud, bitcoin is built for the web and is a lower-cost and lower-risk option for businesses.

The designer of the Hong Kong exchange-rate system, John Greenwood said other investors should emulate Li Ka-shing’s move to invest in bitcoin-related ventures.

He said that BitPay was going to play a major role to facilitate electronic payments in future and support growth of digital currency bitcoin.

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According to FT, Richard Branson’s Virgin Galactic employs BitPay software to accept bitcoin payment for space flights. With the latest round of funding, the company has become the world’s largest beneficiary of capital injections from investors.

The firm supports $1 million worth of bitcoin transactions every single day.

Recently, bitcoin growth path met an obstruction from the People’s Bank of China, which has warned banks not to work with bitcoin firms in China since the end of April. Following the crackdown, bitcoin firms were forced to stop taking bitcoin deposits and close off some accounts.

Yet, bitcoin companies such as Huobi have devised ways to side step regulatory hurdles. The firms plan to move operations abroad to avoid the PBOC while still facilitating bitcoin transactions.

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To contact the reporter of this story; Deepak Tiwari at deepak@forexminute.com