Topic: CHINA Banning bitcoin: PBOC Says All Crypto-Related Transactions Are Illegal - page 4. (Read 897 times)

Exactly, China has banned bitcoin several times, but bitcoin has increased even over and over and reach all-time-high as usual. I read a news about how cryptocurrencies has recovered from China FUD 19 times including today which I do not even yet seen significant.

Crypto has recovered from China's FUD over a dozen times in the last 12 years

The last China FUD during the bitcoin and other crypto mining crackdown resulted to bitcoin price falling from $45000 to $30000, the price drop was so significant, but bitcoin has only falled just 5% after this recent FUD as a result of PBoC making bitcoin illegal for its citizens. The fact still remain that bitcoin does not depend on China, crypto did not even falled as many people will be expecting this time around.

I believe that China's ban on mining, ICO, and crypto trading has made demand and trading volume and market cap decline. China is known as a country that is a bit stricter in law enforcement, so I don't think many people would dare to break the law if the prohibition law was enforced. What makes me wonder is why and why they should do it when they are one of the countries that has good technology in all sectors. They seem too paranoid and think bitcoin and traded altcoin can destabilize their country's economy. But I can assure you of one thing, they have a hidden desire with this ban and may not have been revealed.

Old news or not, banning bitcoin now is a false move for any country. On the other hand, those countries that are now adopting bitcoin are the ones that has all but to gain.

Think about it - is tomorrow a country bans Gold, (mining, holding, trading ...) what will happen - that country will lose gold and other countries will benefit. The same thing is happening to China and their loss is the profit for the rest of the world.

Honestly, I don't look at the original source of the news from the China government. I just looked from ur thread, and the local news of my country just posted the news yesterday. So, I don't know this is old news or not, but I have some views about this condition. The China government has been shocked by the news of Evergrande which affected the stability of the country financially and I looked at the news, the government intervene the bank sector with bailout 18,6 Billion USD. I don't know exactly whether this news related with the banning or not, but I guess that this is just prevention of the government to keep their economy keep stable with this condition. Because after Evergrande case, their economic wasn't fine enough. Because based on their opinion that Bitcoin can create a bubble so they have to be strict to ban the crypto.

Thank you, duly noted.  Updated the relevant post about China. Now I am going to  complain with my source about Bulgarian Bitcoin (Giacomo Zucco on the Italian bitcoin Telegram chat...)

Not that I know and I did a lot of searches about this and they only tell the same thing, it's illegal, in involves punishment but we don't know how bad those will be and this will be the deciding factor.

China has been "banning" crypto-related stuff from exchanges to ICOs for a long time but has anyone seen anything that showed they are truly committed to it? Usually, when the CCP wants to send a message it does so in force, to date we haven't seen anything like that, no news no public shaming no police arrests, that's why usage has continued there, it's like VPN usage, as long as you don't piss the government you can use it freely, cross the line and suddenly the entire world forgets about you.

We will see in the next week what's their attitude is, I guess either the pools all the mining gear manufacturers will be the first to launch a signal if things go bad, they're the most exposed, known names, locations, finances. If we also have news with mining gear squashed down and people in handcuffs put into army trucks making the headlines then they are serious and you can erase China from the crypto map. If nothing happens, well, things will go on as they have for the last years.

Anyhow, I guess we will have a breather till worse things might happen, they have a ton of problems on their plate, crypto is ignorable at this point.

Just clicked on the "Source" button,
It is said that the 194,775BTC are one of several cryptocurrencies seized by Chinese court from the PlusToken Ponzi scheme last year, totaling over 4 billion USD (at that time).

Just hope that the Chinese government's opposition to bitcoin is realized by sending those bitcoins to the burn address.

@fillippone, as for Bulgaria and China, see posts 1 and 2. Bulgaria sold the seized BTC in early 2018, and China reportedly during 2020.

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It is not very logical to compare China in political terms with the rest of the world, especially with Western democracies. It is true that politics has the power to change everything with the stroke of a pen, but it is also true that the people of China do not protest out of fear, while people in other parts of the world are much more willing to fight for what they believe.

China has had a ban on crypto trading for years, and I don't see that affecting the price of Bitcoin - of course, they used every possible way to keep it in the background, but most Chinese in China stopped trading Bitcoin a few years ago.

Well, someone asked why the government made illegal every Bitcoin transaction or activity, instead of the holding of the orange coin.

Would anyone take a wild guess?
Look here: Chinese government is holding bitcoins


https://www.kevinrooke.com/bitcoin

Chinese Government made themselves hodler by law!


Regarding the US government, those are, I think, seized Bitcoins that will be sold via public auction (a wonderful way of buying "clean" BTC's, usually at a premium to market price).

Other governments are missing, at least Bulgaria and, of course, El Salvador.

EDIT:
Apparently (no full confirmation) China sold their BTC in 2020.

That's maybe new and surprising to some people but actually, we all know what China is doing and if you want to get more information about their reactions you will need to learn about economic communism, China is trying to stay against bitcoin and they have some reason for it, sometimes they say Bitcoin is invaluable, sometimes they say that's consuming too much energy and sometimes they say bitcoin is usually for money laundry and none cares about their thoughts, banning crypto-related transactions from China will only affect the market emotionally and temporary nothing changes for the holders.
 

It does not matter if china bans or unbans the crypto because we have learnt one important thing since fe years! :- It does not affect bitcoin/crypto space at all. What will happen max to max? Bitcoin and rest of the crypto will crash because Chinese will be selling their assets so that they save themselves from Dictatorial Government! So this will go on lets say for few months to a year so that all the selling orders will be fulfilled by rest of the world.

Then what? Everyone will forget it, bitcoin will be on flat sale! Billionaires from the globe will jump in, after couple of years halving will occur and this will bring more and more value to bitcoin.

We will see glorious day where BTC will be equal to triple than what it is today! We will thank China on that day for banning it. 

Apparently, diminishing returns on shorting China bans:


https://twitter.com/1337_pete/status/1441374778544115728?s=20

Detail of the image.

So once again chinese banning bitcoin like they are doing from several years? This will have same impact on bitcoin and it's "The Holders don't care" as prices are intended to rise over after short dips china plans in order to create FUD and maybe accumulate more at dips themselves.The china banned mining and hashrate of 65% got diversified and now conditions are normal again so what impact did china leave on prices? You can't stop it with such ridiculous bans and play dirty games in which they will end up losing.

This is just a recycle news, over and over again. Every year china announces they banning bitcoin and this is sickening to hear every year and yet they just fudding it just to buy low, in my opinion. Paper hands will always the first to sell and in the end they the one to cry first as well.  Don't fall for it guys, they just want to buy your bitcoin at dip. So hold strong and believe me bitcoin will soar high up again.

China’s boycott of Bitcoin is already known. Is there any news next? This news does have an impact on the cryptocurrency market, and it will also cause some cryptocurrency enthusiasts to abandon Bitcoin.

All of Bitcoin bulls think that China banning Bitcoin must be about it being scared of the financial freedom or just trying to FUD to buy low (which is really just a meme imo, a nation state wouldn't consciously behave this way).

There is one more aspect to this. China seems to have lost it with Bitcoin because the utility it provides as censorship-resistant money is something they see as enemy action. They tried controlling it but there is too much support from rest of the world. Their interest in Blockchain per se extend a lot to shitcoins like EOS, NEO etc. At one point, I believe they had a technology ranking for cryptocurrencies on which EOS was at the top. (Natuarlly because its a centralized shitcoin with 21 delegators, half of which are from China. Infact the machinations of the Chinese cartels to maximize their control over EOS is one of the reasons that it turned into such a burning wreck).

Most Chinese communites are neck deep in shitcoinery. Every memecoin and centralized scam coin generally has a huge chinese community. There people are probably just turning all of those earning straight to Bitcoin. Its not that China doesn't want their people to continue to dabble into shitcoins. They infact made the first official one with their CBDC Yuan. They love the fact that on a centralized blockchain, they can finally monitor everything.

The average Chinese though, are smart enough to continue to hold BTC. This is what annoys the CCP and is behind their persistent Bitcoin FUD. They just want them to become blockchain zombies but not have access to the only truly decentralized crypto. Good Luck CCP..lol..

The USSR clearly restricted progress: Citizens could buy a car but had to save the money beforehand and there was a waiting list that ranged from 4 to 10 years: "There were many automotive plants in the USSR, but getting a car was not just a matter of having the money. Some people even believe production was deliberately limited for fear that car ownership would give the Soviet people too much freedom."

there was a famous Reagan joke on the subject: "One of Reagan’s best Jokes. Soviet apparatchik: OK you can have a new car. Pay for it now and you can collect it in 10 years from today. Russian asks: Morning or afternoon. Soviet: why would that matter. Russian: the plumber is coming in the morning." (10 years from now, lol)


Yes, I think history is being repeated by the Chinese with respect to Bitcoin, making the same mistake they made holding a silver standard instead of moving to the gold standard:

How the silver standard wrecked Chinas economy.


We can leave the frame aside, but the Bitcoin at least theoretically, fits better with an Austrian School theory of economics (capitalist), than with a Keynesian economic theory (more socialist-left), let alone a Marxist one, with which it does not fit at all.

Another thing is that nowadays we have politicians everywhere who do not follow theories so much as what they believe will give them more votes.


Yes, while I think the framework that Hydrogen puts forward is correct, I also don't think it's a hard-and-fast division that we're going to see:

1) Left-wing governments: ban bitcoin.
2) Right wing governments: embrace bitcoin.

There will be a lot of grey areas and I don't think he puts it that way either, he talks about what is most likely.

Sure, whenever a law is enacted you can always question whether the government is going to enforce it or not....but how many people are going to be willing to take the chance?  I guess to answer my own question, a lot of it would depend on what the penalties are for breaking the law.  Has China made any sort of statement as to what they're going to do with people who continue to own/trade crypto?

They didn't actually outright ban crypto transactions before, did they?  I remember when they banned mining (and ICOs too if I'm not mistaken), but this is new and much more restrictive than any laws they'd previously passed AFAIK. 

And to those saying too bad, so sad to China and this law: just wait until your country passes a similar law.  All it would take is the political will to do so and the stroke of a pen.  Plus this is a big blow to bitcoin; China isn't exactly a small country, and if their citizens can't use crypto that eliminates a lot of bitcoin users.

The banning of crypto is in direct preparation for the rollout of the digital yuan. The Chinese government wants the people of china to have no alternative to that of the centralized ledger. I wouldn't be surprised if we see similar moves in other countries as their CBDCs near completion.

TLDR: Governments are severely afraid of the ability for citizens to retain their own assets in a decentralized way

China is the most manipulated economy in the world and what happened to Evergrande is just the tip of the iceberg. The Chinese economy managed to attain so much growth in recent times because the investors had no option to go for anything other than the overpriced assets that were locally available. The average P/E ratios for Chinese stocks stand at 40-50, compared to 10-12 in the other markets. Real estate prices make no sense and a lot people invested in them since they had no other option. I won't be surprised if the Chinese economy undergo a massive correction sometime in the next 1-2 years. The ban on BTC is not going to help.