the China PBOC event explained - page 2.

whatthesith

copper member

Activity: 301

Merit: 10

simply getting the job done

Quote from: threecats on March 28, 2014, 01:16:54 AM

Quote from: windjc on March 27, 2014, 11:12:19 PM

Quote from: zhangweiwu on March 27, 2014, 11:10:24 PM

Quote from: windjc on March 27, 2014, 11:08:23 PM

Bitfinex operates out of Hong Kong. They are not affected by the Chinese Government.

Do you mean "Bitfinex operates out of China mainland, in Hong Kong; They are not affected by the Chinese Government."?

Because I always thought Bitfinex is a HK business, am I wrong?

Correct.

Bitfinex bank is in Shanghai, will this pose a problem?

They have changed the bank to HSBC HK.

Btw, the previous bank is Offshore bank in Shanghai.

nakaone

hero member

Activity: 742

Merit: 500

what i do not get is why the chinese should sell their bitcoins in the event of closing exchanges? I would hodl them and probably sell them overpriced after the 15th of april or when your economic turmoil really has started.

bclcjunkie

hero member

Activity: 833

Merit: 1001

I personally think this is fud and if it comes true I wouldnt thank enough pboc for another chance to give us cheap coins and removing china from bitcoin ecosystem.. most of us bitcoiners would agree that china had been nothing but toxic to bitcoin's stability so far... I for one cant wait for pboc to act sooner and make bitcoin even more precious to chinese.. also money laundering is bs read on unionpay how mainlanders are bypassing government..

Asrael999

hero member

Activity: 703

Merit: 502

Quote from: Lloydie on March 28, 2014, 01:59:36 AM

Quote from: seriouscoin on March 28, 2014, 01:36:35 AM

Quote from: Lloydie on March 28, 2014, 01:32:37 AM

If China did ban bank accounts of exchanges, this would be the best thing ever.

1. BTC China and Huobi will be forced to develop exchange market based on individual bank accounts transacting with one another directly.

2. The publicity from the ban will raise people's awareness of bitcoin in china. People will try to understand what is going on and why the PBOC feels so threatened.

3. After the initial drop in price, people will realise that life goes on. The PBOC cannot succesfully ban everyone's bank account.

That would never happen, have you ever used banks b4? sound like some teenage's dream

It's called direct funds transfer.

Another method would be to trade bitcoin without ever actually buying it. It would be reasonable complex to do, requiring an account margining system, but there is no reason whereby you could not trade a bitcoin derivative on an exchange. If the cash never actually buys a bitcoin the PBOC cannot complain.

Puppet

legendary

Activity: 980

Merit: 1040

edit wrong thread

seleme

legendary

Activity: 2772

Merit: 1028

Duelbits.com

Whatever it is, it is very complicated Grin

zhangweiwu

sr. member

Activity: 313

Merit: 250

Quote from: seriouscoin on March 27, 2014, 11:53:51 PM

Quote from: seleme on March 27, 2014, 11:48:23 PM

Sorry man but China is seriously fucked up country.

Damn, that shit about permissions of leaving country remind me of dark period of my childhood when the country I was born in was communist Yugoslavia. What a dipshit communism is..

FYI, the HK border restriction is imposed by HK government to prevent influx of illegal workers.

The purpose "to prevent influx of illegal workers" is clear, but who rules is not clear to me. My permission to visit HK was issued by Chinese border control, not by Hong Kong's - they do have one too, which issues VISA instead of "Permission". If I have a VISA from them - as many rich Chinese has for using HK as panic room - I can also use that to enter HK, but they don't issue VISA to Chinese for short visits, in which case they would ask Chinese to get a "Permission" from his own mainland government instead. The difference is not really important, because of the following:

Quote

Chinese, as far as i know can freely leave their country as long as they have Visa to the foreign country.

Sure true.

CIYAM

legendary

Activity: 1890

Merit: 1086

Ian Knowles - CIYAM Lead Developer

Quote from: zhangweiwu on March 28, 2014, 02:05:48 AM

But even that (the resident card) is not yet a HUKOU.

True - although luckily as a foreigner I don't need one of those - they are a big nuisance for Chinese though and rather hard for foreigners (especially westerners) to even *understand*.

BTW the restriction of 50K USD applies to foreigners here also (experienced that personally).

zhangweiwu

sr. member

Activity: 313

Merit: 250

Quote from: CIYAM on March 28, 2014, 02:00:47 AM

Yup - also for foreigners living in China it is *possible* to get a residency card (as opposed to a "temporary residence permit" which you otherwise need to have to legally stay in China) although that is not easy at all (I have only met 1 foreigner who has one of those which he only got after several attempts and who has lived in China over 25 years and ran a multi-million dollar business here employing 30+ Chinese workers).

But even that (the resident card) is not yet a HUKOU.

seriouscoin

hero member

Activity: 658

Merit: 500

Quote from: Lloydie on March 28, 2014, 01:59:36 AM

Quote from: seriouscoin on March 28, 2014, 01:36:35 AM

Quote from: Lloydie on March 28, 2014, 01:32:37 AM

If China did ban bank accounts of exchanges, this would be the best thing ever.

1. BTC China and Huobi will be forced to develop exchange market based on individual bank accounts transacting with one another directly.

2. The publicity from the ban will raise people's awareness of bitcoin in china. People will try to understand what is going on and why the PBOC feels so threatened.

3. After the initial drop in price, people will realise that life goes on. The PBOC cannot succesfully ban everyone's bank account.

That would never happen, have you ever used banks b4? sound like some teenage's dream

It's called direct funds transfer.

Which is reversible, are you done dreaming kid?

CIYAM

legendary

Activity: 1890

Merit: 1086

Ian Knowles - CIYAM Lead Developer

Quote from: zhangweiwu on March 28, 2014, 01:50:11 AM

It's a bit confusing. My resident card says I am of Xiamen City, but if I want to get HUKOU in Xiame, hell, it is going to be difficult. Saying "Residency" is easily confused with resident card. But I think you are right, the nuance is trivial to others, and I should probably just call it 'residence'.

Yup - also for foreigners living in China it is *possible* to get a residency card (as opposed to a "temporary residence permit" which you otherwise need to have to legally stay in China) although that is not easy at all (I have only met 1 foreigner who has one of those which he only got after several attempts and who has lived in China over 25 years and ran a multi-million dollar business here employing 30+ Chinese workers).

I also agree with most of what zhangweiwu is saying - so it will be interesting to see exactly *what happens in mid-April*.

I would also not be surprised if things just keep going on as they did after Chinese New Year (and that this just keeps coming up every quarter as a way of "keeping people from feeling comfortable" using Bitcoin exchanges here).

Indeed the *biggest* concern the Chinese government really has with Bitcoin (and others) is capital leaving the country.

Lloydie

full member

Activity: 140

Merit: 100

Quote from: seriouscoin on March 28, 2014, 01:36:35 AM

Quote from: Lloydie on March 28, 2014, 01:32:37 AM

If China did ban bank accounts of exchanges, this would be the best thing ever.

1. BTC China and Huobi will be forced to develop exchange market based on individual bank accounts transacting with one another directly.

2. The publicity from the ban will raise people's awareness of bitcoin in china. People will try to understand what is going on and why the PBOC feels so threatened.

3. After the initial drop in price, people will realise that life goes on. The PBOC cannot succesfully ban everyone's bank account.

That would never happen, have you ever used banks b4? sound like some teenage's dream

It's called direct funds transfer.

zhangweiwu

sr. member

Activity: 313

Merit: 250

Quote from: seriouscoin on March 27, 2014, 11:45:27 PM

Please call it "residency" , citizenship is a wrong word.

It's a bit confusing whichever way I put it. My Resident Card says Xiamen, but if I want to get HUKOU in Xiamen, hell, it is going to be difficult. This is because of the 'collective HUKOU' where I temperorily have a HUKOU in a city and have my resident card updated, but doesn't enjoy the full rights of the citizens there, and the HUKOU gets sent back to hometown in a few years when the collectiveness expires. Also the existance of 'temperory resident licence' for influx workers made it more complicated how to define residence. These are the documents bare similiar names but only HUKOU gives rights. I'll stick to HUKOU without trying to translate it then, and fall back to 'residency' occassionally.

seriouscoin

hero member

Activity: 658

Merit: 500

Quote from: Lloydie on March 28, 2014, 01:32:37 AM

If China did ban bank accounts of exchanges, this would be the best thing ever.

1. BTC China and Huobi will be forced to develop exchange market based on individual bank accounts transacting with one another directly.

2. The publicity from the ban will raise people's awareness of bitcoin in china. People will try to understand what is going on and why the PBOC feels so threatened.

3. After the initial drop in price, people will realise that life goes on. The PBOC cannot succesfully ban everyone's bank account.

That would never happen, have you ever used banks b4? sound like some teenage's dream

Lloydie

full member

Activity: 140

Merit: 100

If China did ban bank accounts of exchanges, this would be the best thing ever.

1. BTC China and Huobi will be forced to develop exchange market based on individual bank accounts transacting with one another directly.

2. The publicity from the ban will raise people's awareness of bitcoin in china. People will try to understand what is going on and why the PBOC feels so threatened.

3. After the initial drop in price, people will realise that life goes on. The PBOC cannot succesfully ban everyone's bank account.

neuroMode

sr. member

Activity: 448

Merit: 250

Quote from: Neurotraveller on March 27, 2014, 10:13:28 PM

I don't know why the Chinese central authorities want to cede future financial power to the West by banning Bitcoin. Bitcoin could wind up being worth hundreds of trillions of dollars. A poor small country like the Phillipines could choose to aggressively adopt it and become an overnight super power in China's backyard. They better think long and hard about their decision. It could be the best or worst decision they make in hundreds of years.

Perhaps China is not that far-sighted?

threecats

sr. member

Activity: 378

Merit: 250

Quote from: windjc on March 27, 2014, 11:12:19 PM

Quote from: zhangweiwu on March 27, 2014, 11:10:24 PM

Quote from: windjc on March 27, 2014, 11:08:23 PM

Bitfinex operates out of Hong Kong. They are not affected by the Chinese Government.

Do you mean "Bitfinex operates out of China mainland, in Hong Kong; They are not affected by the Chinese Government."?

Because I always thought Bitfinex is a HK business, am I wrong?

Correct.

Bitfinex bank is in Shanghai, will this pose a problem?

solarflare

member

Activity: 63

Merit: 10

Quote from: seriouscoin on March 28, 2014, 12:00:42 AM

Regarding the rumors, my theory is that the exchanges dont want to close their businesses.

The PROC didnt outright say btc is prohibited and illegal. The reason is they dont want public outright and being criticized by the Westerns. They always want to be looked at as a developed country....I would call the banking blockage is a soft ban making btc unfeasible for its ppl and eventually would make btc negligible.

Hence the exchanges are most likely finding another banking network to facilitate btc trading.

And imo, for the average joe who buys small quantities, websites like localbitcoins are much more efficient than exchanges anyway (if they're not interested in day trading). The "black market" will just explode.

seriouscoin

hero member

Activity: 658

Merit: 500

Regarding the rumors, my theory is that the exchanges dont want to close their businesses.

The PROC didnt outright say btc is prohibited and illegal. The reason is they dont want public outright and being criticized by the Westerns. They always want to be looked at as a developed country....I would call the banking blockage is a soft ban making btc unfeasible for its ppl and eventually would make btc negligible.

Hence the exchanges are most likely finding another banking network to facilitate btc trading.

solarflare

member

Activity: 63

Merit: 10

xiexie zhangweiwu!

Really, thank you for all the information you give us.
It makes a lot of sense and means the dip we saw today might just be the beginning.
It reinforces my thoughts that China will try to cripple bitcoin to avoid capital flight.

Topic: the China PBOC event explained - page 2. (Read 8268 times)