Will we soon see a rebirth of crypto trade in China? According to a Chinese news platform for crypto news, something could soon move on to the crypto market in China.
Tomorrow’s Tuesday, October 31, is the deadline set by the Chinese central bank when the Crypto exchanges that operate from the People’s Republic will cease operations. The three most important crypto exchanges, BTCC, OKCoin and Huobi, were able to prepare for this regulatory measure, which had already been announced in mid-September, accordingly, and can now follow the step in an orderly fashion. A long, fixed process, then, can be thought of.
In fact, however, just on the eve of the last official CNY crypto trading on Chinese stock exchanges on the day before, the rumor that the ban soon fell back, or at least bypassed. As the Chinese crypto news site cnLedger put it on Twitter, the crypto exchanges OkEx and (presumably) Huobi-Pro will soon enable Bitcoin’s peer-to-peer trading in various Fiat currencies. The news side suspects that the Chinese yuan renminbi will also be among the traded fiat currencies.
The advantage of these crypto exchanges is that they are not registered in China and are therefore not affected by the “voluntary closure” of the Chinese crypto exchanges. The similarity in name of the two emerging crypto exchanges with the tomorrow closing OKCoin and Huobi therefore does not seem to be a coincidence – even if the independence is emphasized. It looks as if the time limit granted to the exchanges in mid-September has been sufficiently used to ensure the smoothest possible continuation of the crypto trade in China.
In the run-up to the party congress of the Communist Party in October, a major political event in which the course was set for the next five years, it had already been speculated that the regulations on cryptocurrencies could be eased in the wake of a personal assault on the intra-party leadership cadre. The now possible future circumvention of the prohibition of the crypto-trade on Chinese stock exchanges could be regarded as a first step in the direction of a relaxation of the strict regulation in China.
The reopening Chinese market could also fuel the entire crypto scene. While there is no assurance that the rumor of the continuation of Chinese crypto trading has contributed to reaching Bitcoin’s new all-time high, it is almost certain that the cryptocurrency will at least have no drawbacks.