As now it’s clear that the Chinese authorities are hostile to the digital currencies, the Global Bitcoin Summit scheduled 10th and 11th of this month, is expected to see several Bitcoin exchanges pulling out. The reports from the local media say that several of China’s largest Bitcoin exchanges pulled out of the planned global summit.
The latest decision is in response to the central bank’s order to curb on speculative trading of the virtual currency in China. In its statement BTC China Co. made it clear that along with four Bitcoin trading platforms, it has agreed to adopt stricter practices such as halting margin trading and short selling.
Note that the group of five also agreed to not participate in Bitcoin marketing conferences and gatherings. Thus, the latest setback for the organizers of Global Bitcoin Summit is going to bother a lot as it has come at the moment when the event is just a couple of days away and arranging new participants would be difficult.
In its statement that was posted on the website of BTC China, the oldest of the nation’s Bitcoin operators, it said that along with BTC China, OKCoin and Huobi.com, it will no longer attend the Global Bitcoin Summit on May 10. The Chief Executive Officer of the Bitcoin exchange Bobby Lee was candid about the decision.
Perceived Clampdown on Bitcoin Continues, Bothers Participants
Bobby Lee said that speakers from the exchanges who were to appear at the conference were taken off an updated schedule sent to the media by organizers as according to him this is the most apt response against the perceived clampdown of the central bank. He further added that the group of five has decided to stay more low-key and skip out of the conference this weekend.
This is evidence that the People’s Bank of China is not willing to bend its norms to accommodate the digital currency and begin a crackdown on it in December. Though some financial institutions and payment companies are dealing in the crypto-currency, with the way the government authorities are acting, it won’t last much longer.
The government of China firmly believes that Bitcoin is being used to launder money or skirt capital controls. Therefore, it is apt for the nation’s banks to close the accounts of online trading platforms used to transfer money to Bitcoin trading accounts.
To contact the reporter of this story: Deepak Tiwari at email@example.com