Topic: [CAIXIN] PBOC BANS ALL BTC FIAT CHANNELS (DEADLINE MAY 10) (Read 8906 times)

i think there are only few insiders who know exactly what's going on... i doubt this ban was due to capital controls.. because the volume is miniscule to even affect yuan's stability and price of bitcoin would've fluctuated wildly across various exchanges due to buying and selling to move funds across(buy here, dump there, buy there, dump here)... also it's easy for PBOC to see how much money is going in and going out of exchange's accounts since every transaction is documented locally unlike offshore exchange. Now if this was all cash transactions then this ban wouldn't have any effect since all you do is bring suitcase full of yuans and start purchasing bitcoins, but then that kind of operation would've been shutdown without warnings by now...

anyway capital controls can easily be circumvented via all kinds of accounting tricks, overinvoicing, shady money exchangers, triads and etc.. if chinese currency controls were that effective you wouldn't see property bubbles mainly driven by wealthy chinese or countries granting citizenships to chinese with at least USD 1 million in cash. Illegal capital flight is unstoppable because it's the politburo itself that's corrupt to the core and needs it. Most of the middle class families too try to emigrate for better future but their amount is small to even acknowledge it as a problem. i personally don't know the exact reason but it just seems to me some kind of regulatory movement by PBOC and manipulators are simply taking advantage of that by creating more fud... it could be be a blessing in disguise since there are so many offshore places to resume trading.. look at btce that already started CNH trading pair...

also if illegal capital really went to bitcoin, we would've had ath of at least 10,000 usd or more and not 1000 since the amount of illicit money waiting to get out of china is humongous i don't think even exchange volume would've been enough to cover that... anyway that november climb to 1000 usd was purely due to clever manipulative trades that were possible due to 0 fees...  if you notice dumps are only localized if this was true panic you'd see big red candles on btce and bitstamp daily...  but so far all i see tall red candles mostly on local chinese exchanges so that tells me coins are staying and it's just to create illusion of panic...  

Just like American users have to wire funds to foreign Bitcoin exchanges, no difference there.

Of course it is more difficult and that is why BTC is 400, not 1200.

Your logic is circular. If banning BTC is just to prevent capital flight, then there is no reason for PBOC to worry about wires to exchanges, as long as the 50K limit is enforced (because that, according to you, is the entire reason for the ban). 

They can with a VPN. They don't necessarily want to because Weibo is more useful for a chinese than Facebook. But there is no chinese version of Bitcoin.

Coinffeine. The exchange is distributed.

Dream on. They can't even get into Google, Facebook, or Youtube.

I would not be at all surprised if the Great Firewall of China started blocking Bitcoin wallet traffic.

Alright. I do see though how FEDs would want americans to claim BTC before anyone else though, and from there my thoughts awoke

I respect your opinion, but this is a new technology. Chinese nerds get just as excited about it as American nerds. Nothing is going to stop Chinese people from finding a way to get into Bitcoin.

PBOC is quite independent of the IMF, WorldBank, or the USA/Rothschilds/Feds. Only in the fertile imaginations of conspiracy theorists, if you ask me, and I DO have a very suspicious mind.

Or, is the banks of China controlled by a Central bank that is controlled by IMF and Worldbank that is controlled by USA/Rothschilds/FED?

And the state News just don't Reach us in the west?

Could be, as far as I know, cuz I can't Reach chinese newspapers

The level of denial here is amusing.

Look. China has exchange controls. Exchanging yuan for currencies outside China is restricted. For a brief time last fall, Bitcoin was a safe, easy way around those restrictions. That caused the Bitcoin runup from $100 to $1000. Then the People's Bank of China (equivalent to the U.S. Treasury plus the Fed) decided to shut that down. They issued clear guidance to that effect. Some Bitcoin enthusiasts, both inside and outside China, didn't get the message. The PBOC gradually took stronger measures. Now they're issuing direct orders to individual banks not to deal with Bitcoin, directly or indirectly.

There are still some people here fantasizing that the shutdown isn't happening. Get real.

Let me explain why the $50K / year limit is largely irrelevant to Chinese Bitcoin users.

#1 - Chinese citizens will still need to wire this money to an exchange after converting it.  PBOC will likely ban international wires to popular BTC exchanges.  Cutting off BTC-e, Kraken, Bitstamp, etc. would not be difficult.  By announcing that banks cannot be used to send money to Bitcoin exchanges, they could even potentially pull back wires which have been received by Bitcoin exchanges from Chinese bank accounts.

#2 - Chinese are using Bitcoin to avoid currency controls.  The people who really need Bitcoin have used up their limits in FOREX ($50k/year)

#3 - International wires cost money ($40 each on average), and are difficult to send.  You must physically go to a bank, wait in line (China lines, they're long as hell), and fill out all the information for the receiver.  It's a complicated process, especially when someone has not sent a wire before.  Right now, Chinese citizens can fund their exchange accounts with a few clicks of their mouse.

If the best option for someone in China is going to the bank, converting CNY to foreign currency, and sending a wire to a Bitcoin exchange, then the Chinese system is crippled in a big way.  These guys are used to 1 hour online deposits and 0% fees.

Biodom - exactly! 

There is 1000 million Chinese. If only 1 million Chinese transfers 50k per year to HK and buys BTC, that would be $50 000 000 000 per year; far more than enough.

Plus the local trades and the shadow banking and many other avenues; there are trillions of bored capital in China and if Chinese WANT they will find a way

Question is, do they still want it? Probably...there is just too much liquidity, the PBOC cannot stop this long term.

You said it...
Wait...I still want cheap miners-0.619 BTC ($1.57/GH/s). Can anybody else, but chinese have such prices-of course, not.
With that said, who cares if recharging is banned in the mainland when they can transfer 50K/year to HK. I don't think that anybody except top 0.01-0.1% are investing more than that yearly in BTC. No problem.

Agreed...if it is to be believed that these threads are not being pushed so as to manipulate the market then i assume that y307.954 and his other mates will turn bullish or (support bitcoin) once they have a fill price they are happy with or

They are just permamnent assholes .....why dont you just fuck off out of our community ..instead of continually trying to what "DESTROY" crypto .. is this teh right word because really i dont get what your purpose here is ??

If you hate crypto so much ..theres the door -> take you negative chinese shit & mastubate on chat roulette ... I am a bit over buying the same donkey time & time again with the chicken little chinese FUD

 

I guess it's the attitude and the glee of the messenger. I mean, what are people even doing here if they share Krugman's opinions about Bitcoin?

And frankly, these guys are getting boring and irritating - I read this BS *every* time in a bear market. But so far, every bear market has been a bear trap.

+1

What is frustrating is the lack reliable information. In the future we maybe look back and think "well, they did give us a fair warning". Another thing I find interesting is that last week there were multiple failed attempts on the Chinese exchanges to drive the price up. The way the Chinese bulls were held down did not look natural to me and I think they failed was because the western exchanges did not really follow. So the resent drop is in my opinion because of failed attempts to raise the price and because of bad news. This week I think that quite a few people on the Western exchanges got caught around $480-$490 (before the bad news), and these people seem to be holding like champs. To me is another indication that Stamp is currently leading. Unless we get more bad news I think the price will slowly go up from here. I would be interested to hear if you agree or disagree with this analysis.

The passive aggressive reaction to unwelcome news, the jerkish attitude to the messenger bearing said news (sorry y3804), and the pure bile poured over China and the Chinese in this thread (and the forum in general)  is nothing short of depressing.

Grow up, Bitcoin investors. You didn't whine when China pushed us to 1000+, so now that they put in the reverse gear, you should bear* it with some dignity as well.


* yea, couldn't resist the pun, sorry :)

Absolutely, and it would be much easier to use than Localbitcoins.  Localbitcoins' main downside is that the most commonly accepted payment methods are not processed online.  The buyer must either go to a bank and deposit cash into the seller's account, or meet them in person.  Either way, you can't sit down at your desk and buy a Bitcoin.  That makes the process much more tedious.

In this model, the buyer does not need to leave his desk.  By trading a reputable online seller, a buyer is able to buy Bitcoins in minutes.  Likely even more quickly than they can right now (it takes ~1 hour for money to hit exchanges in China through bank transfer atm).

Once someone has Bitcoins in their wallet, they can take them to any exchange and trade.  You can trade Bitcoin on BTC-e / Bitstamp / Cryptsy in China, so long as you have Bitcoins.  The "exchange" we are speaking of (which is actually more of an escrow than an exchange) is only used for cashing in / out of Bitcoin.  Anyone looking to speculate on BTC price / day trade should bring their coins to an off-shore Bitcoin exchange.

That would be beautiful.

Did the possibility even occur to you that there is another way to withdraw money from the exchange? Hint: This isn't the same as the stock exchange where you would lose your money should the fiat channel be closed because you can't get your stocks out.

Since you say "NO CHOICE" (sic) I am wondering if you have even a basic understanding of Bitcoin.