Bitcoin Price Crashes as Chinese Exchanges OkCoin & Huobi Pause Withdrawal

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Quote from: zby on February 10, 2017, 12:59:04 PM

Quote from: shapeshiftscam on February 10, 2017, 09:22:47 AM

...

China won't confiscate btc from exchanges, it is a robbery, and exchanges have own cold and hot wallets, how they can confiscate the bitcoin funds? Impossible, if that will be real, PBOC is criming, government should fire the head of PBOC.

PBOC is the government (or more precisely both are just subsidiary of the party). But yeah - they will not confiscate - they'll just allow moving the funds only between government approved wallets, this is the only way to stop BTC leaving the country and this is their goal announced already a few months ago. Next step will be controlling the Chinese miners

What is the purpose of that?

And how exactly are they going to control the miners? The only thing that comes to my head right now is disallowing to move the mined coins anywhere but the Chinese exchanges. If so, we face the question of mining pools, i.e. if no one is allowed to withdraw their profits, pool miners from other countries (and most likely the Chinese miners as well) will leave and join other pools (outside China)

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Quote from: alyssa85 on February 10, 2017, 01:24:57 PM

Quote from: zby on February 10, 2017, 12:59:04 PM

Quote from: shapeshiftscam on February 10, 2017, 09:22:47 AM

...

China won't confiscate btc from exchanges, it is a robbery, and exchanges have own cold and hot wallets, how they can confiscate the bitcoin funds? Impossible, if that will be real, PBOC is criming, government should fire the head of PBOC.

PBOC is the government (or more precisely both are just subsidiary of the party). But yeah - they will not confiscate - they'll just allow moving the funds only between government approved wallets, this is the only way to stop BTC leaving the country and this is their goal announced already a few months ago. Next step will be controlling the Chinese miners.

Quote from: alyssa85 on February 10, 2017, 12:35:04 PM

...
I would have thought that the people using bitcoin to evade Chinese capital controls were small fry. Most of the serious money uses property purchases abroad (they buy using a mortgage, and then take money slowly out of China to pay the mortgage, year on year).

Unless of course it is the miners who are getting their coins out of the country. They DO have a lot of money to take out that way. If they are shut down for capital flight, we have got trouble.

Chinese citizens can only move $50K yearly abroad - I don't think that there is an exception to paying mortgages - it would take 10 years to move half a million.

I guess some would move it slowly - but for most it would be more urgent now.

Remember that property values in the west are going up. So if you buy a huge house and take out a 25 year mortgage, using your $50,000 allowance to pay the mortgage is easy. If the property price goes up, then you can sell it, and you have a capital gain as well, and it will be outside China in dollars or pounds or Australian dollars. Ditto if you rent the property out, you get rental income, and again it will be outside China. Buying property is a very good way to accumulate money outside China.

volume transaction bitcoin user in china is very big not only 50k dollar
you can see last year about MMM global, you can see china member in there is big user and big investment use bitcoin, and MMM global scheme ponzy and not legal
and china exchanger is dominant too before investigation for china regulation

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Quote from: zby on February 10, 2017, 12:59:04 PM

Quote from: shapeshiftscam on February 10, 2017, 09:22:47 AM

...

China won't confiscate btc from exchanges, it is a robbery, and exchanges have own cold and hot wallets, how they can confiscate the bitcoin funds? Impossible, if that will be real, PBOC is criming, government should fire the head of PBOC.

PBOC is the government (or more precisely both are just subsidiary of the party). But yeah - they will not confiscate - they'll just allow moving the funds only between government approved wallets, this is the only way to stop BTC leaving the country and this is their goal announced already a few months ago. Next step will be controlling the Chinese miners.

Quote from: alyssa85 on February 10, 2017, 12:35:04 PM

...
I would have thought that the people using bitcoin to evade Chinese capital controls were small fry. Most of the serious money uses property purchases abroad (they buy using a mortgage, and then take money slowly out of China to pay the mortgage, year on year).

Unless of course it is the miners who are getting their coins out of the country. They DO have a lot of money to take out that way. If they are shut down for capital flight, we have got trouble.

Chinese citizens can only move $50K yearly abroad - I don't think that there is an exception to paying mortgages - it would take 10 years to move half a million.

I guess some would move it slowly - but for most it would be more urgent now.

Remember that property values in the west are going up. So if you buy a huge house and take out a 25 year mortgage, using your $50,000 allowance to pay the mortgage is easy. If the property price goes up, then you can sell it, and you have a capital gain as well, and it will be outside China in dollars or pounds or Australian dollars. Ditto if you rent the property out, you get rental income, and again it will be outside China. Buying property is a very good way to accumulate money outside China.

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Quote from: shapeshiftscam on February 10, 2017, 09:22:47 AM

...

China won't confiscate btc from exchanges, it is a robbery, and exchanges have own cold and hot wallets, how they can confiscate the bitcoin funds? Impossible, if that will be real, PBOC is criming, government should fire the head of PBOC.

PBOC is the government (or more precisely both are just subsidiary of the party). But yeah - they will not confiscate - they'll just allow moving the funds only between government approved wallets, this is the only way to stop BTC leaving the country and this is their goal announced already a few months ago. Next step will be controlling the Chinese miners.

Quote from: alyssa85 on February 10, 2017, 12:35:04 PM

...
I would have thought that the people using bitcoin to evade Chinese capital controls were small fry. Most of the serious money uses property purchases abroad (they buy using a mortgage, and then take money slowly out of China to pay the mortgage, year on year).

Unless of course it is the miners who are getting their coins out of the country. They DO have a lot of money to take out that way. If they are shut down for capital flight, we have got trouble.

Chinese citizens can only move $50K yearly abroad - I don't think that there is an exception to paying mortgages - it would take 10 years to move half a million.

I guess some would move it slowly - but for most it would be more urgent now.

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Quote from: Kprawn on February 10, 2017, 11:46:47 AM

Quote from: shapeshiftscam on February 10, 2017, 09:22:47 AM

Quote from: kiklo on February 10, 2017, 03:53:04 AM

Rumors are that China is in the Midst of a Great Depression that will Rival the 1929 US version.

China is doing everything they can to prop up their Yuan, including blocking all outflows of capital from China.

So even when the Chinese exchanges do start allowing BTC & LTC to be withdrawn , expect their to be serious restrictions on those amounts.
(If they don't immediately reinstate a longer block not long after allowing them.)

China may start confiscating BTC from the exchanges and sell them to prop up the Yuan.
If they do , then we have to call BTC , BNTC instead.

BNTC = Better NOT Trust China

Cool

FYI:
On a trading note , A month is a long time, BTC value could easily drop in half before the blocks are lifted.

China won't confiscate btc from exchanges, it is a robbery, and exchanges have own cold and hot wallets, how they can confiscate the bitcoin funds? Impossible, if that will be real, PBOC is criming, government should fire the head of PBOC.

Do you think the Chinese government are even remotely worried about the rights of common people? The PBOC is busy with a power play, and

the Chinese exchanges are rolling over to stay in business. They have already made significant changes to please the government agents, and

it is still not enough. I think the PBOC is on a fishing expedition to hunt down "tax avoiders" and "money launderers" and to curb Capital flight.

I would have thought that the people using bitcoin to evade Chinese capital controls were small fry. Most of the serious money uses property purchases abroad (they buy using a mortgage, and then take money slowly out of China to pay the mortgage, year on year).

Unless of course it is the miners who are getting their coins out of the country. They DO have a lot of money to take out that way. If they are shut down for capital flight, we have got trouble.

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Quote from: shapeshiftscam on February 10, 2017, 09:22:47 AM

Quote from: kiklo on February 10, 2017, 03:53:04 AM

Rumors are that China is in the Midst of a Great Depression that will Rival the 1929 US version.

China is doing everything they can to prop up their Yuan, including blocking all outflows of capital from China.

So even when the Chinese exchanges do start allowing BTC & LTC to be withdrawn , expect their to be serious restrictions on those amounts.
(If they don't immediately reinstate a longer block not long after allowing them.)

China may start confiscating BTC from the exchanges and sell them to prop up the Yuan.
If they do , then we have to call BTC , BNTC instead.

BNTC = Better NOT Trust China

Cool

FYI:
On a trading note , A month is a long time, BTC value could easily drop in half before the blocks are lifted.

China won't confiscate btc from exchanges, it is a robbery, and exchanges have own cold and hot wallets, how they can confiscate the bitcoin funds? Impossible, if that will be real, PBOC is criming, government should fire the head of PBOC.

Do you think the Chinese government are even remotely worried about the rights of common people? The PBOC is busy with a power play, and

the Chinese exchanges are rolling over to stay in business. They have already made significant changes to please the government agents, and

it is still not enough. I think the PBOC is on a fishing expedition to hunt down "tax avoiders" and "money launderers" and to curb Capital flight.

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Quote from: alyssa85 on February 10, 2017, 08:05:13 AM

Quote from: OmegaStarScream on February 10, 2017, 03:29:39 AM

Without forgetting that they are going to apply fees (since they wasn't doing that before) and I personally doubt that this is a coincidence as Kraken was down as well and users experienced an 404 error page , It's probably more like a plan to drop the price.

Well it is kinda weird that this sort of news only comes out when bitcoin gets over $1050.

It is probably only a coincidence. I do not believe that the problem is if the price is more than $1,050 nor more than the psychological threshold of $1,000. Maybe I would be more surprised if there was a governmental intervention over the ath of 2013 where if I remember well the price was about $1,243. Actually is incredible how quickly and at what depth was the raw chinese intervention in order to protect yuan.

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Quote from: kiklo on February 10, 2017, 03:53:04 AM

Rumors are that China is in the Midst of a Great Depression that will Rival the 1929 US version.

China is doing everything they can to prop up their Yuan, including blocking all outflows of capital from China.

So even when the Chinese exchanges do start allowing BTC & LTC to be withdrawn , expect their to be serious restrictions on those amounts.
(If they don't immediately reinstate a longer block not long after allowing them.)

China may start confiscating BTC from the exchanges and sell them to prop up the Yuan.
If they do , then we have to call BTC , BNTC instead.

BNTC = Better NOT Trust China

Cool

FYI:
On a trading note , A month is a long time, BTC value could easily drop in half before the blocks are lifted.

Well their foreign exchange reserves are dropping. See the following:

http://www.cnbc.com/2017/02/07/china-jan-fx-reserves-fall-more-than-expected-to-2998-trillion-near-6-year-low.html

Their reserves were $3.99 trillion in 2014, they are now $2.98 trillion.

That means they have gotten through a trillion in just two years time. If they continue like that the reserves will be completely gopne in 5 years time.

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Now I see that price is lower. Those chinese exchangers mostly are making things from good to worst. At first when bitfinex was hacked, price become lowered and now two serious exchangers, okcoin and houbi paused withdrawal. This situation isn't good, we won't be depenend on them, this fact shows us that we are mostly depended on them and it makes decentralization fact in question. Their these action is contravences exchangers rights.

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Quote from: d@nte on February 10, 2017, 09:23:04 AM

In fact, there are people exaggerating in panic. This is not the first time this has happened this year, and it probably will not be the last. I think that people against Bitcoin have realized that the currency can make great progress this year, and they will certainly look for different ways to get individuals to stop believing in it, and make them give up a more decentralized economy.

Troll bears you are talking about. It's not that they just realized that Bitcoin has potential, but more the fact that they constantly try to make rookies believe in their worthless fud. I think at this point the title of troll bear leader clearly belongs to kwukduck. People with common sense look right through all the bs coming from him, but rookies/new registered users may look at his legendary status and thus take his nonsense for granted. That's exactly what he is hoping for.

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i have already heard about this since yesterday actually the price not too crashed because currently still $900+ but i don't know why everytime the price hit $1000 there is always rumour and situations which is make the price back down and it does happened several times and seems there is big power to makes that happening

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Quote from: kiklo on February 10, 2017, 03:53:04 AM

Rumors are that China is in the Midst of a Great Depression that will Rival the 1929 US version.

China is doing everything they can to prop up their Yuan, including blocking all outflows of capital from China.

So even when the Chinese exchanges do start allowing BTC & LTC to be withdrawn , expect their to be serious restrictions on those amounts.
(If they don't immediately reinstate a longer block not long after allowing them.)

China may start confiscating BTC from the exchanges and sell them to prop up the Yuan.
If they do , then we have to call BTC , BNTC instead.

BNTC = Better NOT Trust China

Cool

FYI:
On a trading note , A month is a long time, BTC value could easily drop in half before the blocks are lifted.

Sell bitcoin could not do anything to help a national currency avoid being devalued. You know, the total market cap value of Bitcoin is less than $20b, that is nothing compared to state money.

If it is a measure to avoid capital flow, they are more trying to kill a seed than an actual thread

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Quote from: BigBoom3599 on February 10, 2017, 03:52:51 AM

Quote from: OmegaStarScream on February 10, 2017, 03:29:39 AM

Without forgetting that they are going to apply fees (since they wasn't doing that before) and I personally doubt that this is a coincidence as Kraken was down as well and users experienced an 404 error page , It's probably more like a plan to drop the price.

Either way, it's not good... Tongue

It shows again how exchanges have too much power and are too centralized, if only a couple of people can cause this big of an uproar.

Right from the onset, I knew Bitcoin would have issues with centralization. There are too much manipulation in the price of bitcoin. First, China was Controlling Bitcoin (They actually dominates it though) Miners and exchanges are contributing to this fact too. Exchanges like Okcoin would start losing users once They start charging trading fees.

~Bitcoin~

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Again china make great dump quickly but this one looks like planned drop to buy some cheap coins. Just waiting for end of this PBOC investigation FUD. Angry

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Quote from: 1Referee on February 10, 2017, 09:13:01 AM

If you look at the price from a wider perspective, then you'll see that even though the price has gone down a bit, that we're still doing great. Everything above the $900 level can be seen as a fantastic price. People always over-react when it comes to the price going down. If the price goes up hard, then everything is ok and fine, but as soon as the top is reached and the price drops a bit, then suddenly people start to panic. Just relax.

In fact, there are people exaggerating in panic. This is not the first time this has happened this year, and it probably will not be the last. I think that people against Bitcoin have realized that the currency can make great progress this year, and they will certainly look for different ways to get individuals to stop believing in it, and make them give up a more decentralized economy.

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Quote from: kiklo on February 10, 2017, 03:53:04 AM

Rumors are that China is in the Midst of a Great Depression that will Rival the 1929 US version.

China is doing everything they can to prop up their Yuan, including blocking all outflows of capital from China.

So even when the Chinese exchanges do start allowing BTC & LTC to be withdrawn , expect their to be serious restrictions on those amounts.
(If they don't immediately reinstate a longer block not long after allowing them.)

China may start confiscating BTC from the exchanges and sell them to prop up the Yuan.
If they do , then we have to call BTC , BNTC instead.

BNTC = Better NOT Trust China

Cool

FYI:
On a trading note , A month is a long time, BTC value could easily drop in half before the blocks are lifted.

China won't confiscate btc from exchanges, it is a robbery, and exchanges have own cold and hot wallets, how they can confiscate the bitcoin funds? Impossible, if that will be real, PBOC is criming, government should fire the head of PBOC.

zby

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So for a month the only way to withdraw from Chinese exchanges will be to sell BTC. This should generate constant pressure down.

I also think that the new AML rules will not let people use BTC freely - they would probably mean they can only use hosted wallets - this is the only way for the authorities to stop BTC leaving the country. At least officially - this will obviously create a huge black market too, so I guess another rule will be regulating mining and requiring that the mined BTCs are sold only on approved exchanges, or moved into approved hosted wallets. Anyway - all the BTC that is now on the exchanges will be trapped into some internal Chinese market with no way to leave the country - i.e. useless.

1Referee

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If you look at the price from a wider perspective, then you'll see that even though the price has gone down a bit, that we're still doing great. Everything above the $900 level can be seen as a fantastic price. People always over-react when it comes to the price going down. If the price goes up hard, then everything is ok and fine, but as soon as the top is reached and the price drops a bit, then suddenly people start to panic. Just relax.

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Quote from: kiklo on February 10, 2017, 03:53:04 AM

Rumors are that China is in the Midst of a Great Depression that will Rival the 1929 US version.

China is doing everything they can to prop up their Yuan, including blocking all outflows of capital from China.

So even when the Chinese exchanges do start allowing BTC & LTC to be withdrawn , expect their to be serious restrictions on those amounts.
(If they don't immediately reinstate a longer block not long after allowing them.)

China may start confiscating BTC from the exchanges and sell them to prop up the Yuan.
If they do , then we have to call BTC , BNTC instead.

BNTC = Better NOT Trust China

Cool

FYI:
On a trading note , A month is a long time, BTC value could easily drop in half before the blocks are lifted.

Or it could recover in a matter of days and you would lose a lot of money by not being in or even worse, by setting short positions.

China is no longer an huge player in the market, they had fake volume, we can do good without them. Also it's obvious this is manipulation and someone is getting really rich in the chinese government by buying all the cheap bitcoins from the panic sellers.

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Quote from: OmegaStarScream on February 10, 2017, 03:29:39 AM

Without forgetting that they are going to apply fees (since they wasn't doing that before) and I personally doubt that this is a coincidence as Kraken was down as well and users experienced an 404 error page , It's probably more like a plan to drop the price.

Well it is kinda weird that this sort of news only comes out when bitcoin gets over $1050.

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Quote from: razen489 on February 10, 2017, 04:22:03 AM

Woke up to this shocking price https://www.coingecko.com/en/price_charts/bitcoin/usd
Embarrassed

No need to worry about crashes.. They will keep happening, it is part of the game. If you worry about every time this happens, just think of what the price did over the last two years. From 200 to 900+ now. Those numbers should tell you what you need to know, not the 24h graph.

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Woke up to this shocking price https://www.coingecko.com/en/price_charts/bitcoin/usd
Embarrassed

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Rumors are that China is in the Midst of a Great Depression that will Rival the 1929 US version.

China is doing everything they can to prop up their Yuan, including blocking all outflows of capital from China.

So even when the Chinese exchanges do start allowing BTC & LTC to be withdrawn , expect their to be serious restrictions on those amounts.
(If they don't immediately reinstate a longer block not long after allowing them.)

China may start confiscating BTC from the exchanges and sell them to prop up the Yuan.
If they do , then we have to call BTC , BNTC instead.

BNTC = Better NOT Trust China

Cool

FYI:
On a trading note , A month is a long time, BTC value could easily drop in half before the blocks are lifted.

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Quote from: OmegaStarScream on February 10, 2017, 03:29:39 AM

Without forgetting that they are going to apply fees (since they wasn't doing that before) and I personally doubt that this is a coincidence as Kraken was down as well and users experienced an 404 error page , It's probably more like a plan to drop the price.

Either way, it's not good... Tongue

It shows again how exchanges have too much power and are too centralized, if only a couple of people can cause this big of an uproar.

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Without forgetting that they are going to apply fees (since they wasn't doing that before) and I personally doubt that this is a coincidence as Kraken was down as well and users experienced an 404 error page , It's probably more like a plan to drop the price.

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Two of China's three largest bitcoin exchanges said they were taking measures to stop withdrawals of the cryptocurrency from their platforms, as capital outflows prompt the Chinese central bank to step up its scrutiny of the industry.

https://www.cryptocoinsnews.com/bitcoin-price-is-crashing-as-chinese-exchanges-pause-withdrawals

Here's the price of bitcoin:

http://www.coindesk.com/price/#2017-02-09,2017-02-10,close,bpi,USD

Topic: Bitcoin Price Crashes as Chinese Exchanges OkCoin & Huobi Pause Withdrawal (Read 1189 times)