"Chinese exhanges" is a much too general statement, there are a lot of them out there, and I would say most of the big ones are legit.
You can check with ViaBTC where they state that all the BTC are in cold storage and they don't work on reserve like traditional banks.
We will wait and see about government ban.
Topic: Closing Chinese exchanges that opperate on fractional reserve (Read 309 times)
September 15, 2017, 02:14:58 AM
There has been much speculation in the past about the degree that Chinese exchanges are insolvent and are opperating on fractional reserve. Presuming this were true, what do you think the effects would be when they had to settle their balance sheets with their customers following a government ban on opperations?
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