China To Ban Cryptocurrency Exchanges Once Again - Don't Make Me Laugh!

in china •  2 years ago  (edited)


Bitcoin Exchanges to be banned again?


So I've been coming across rumours that say there is information being "leaked" that China is about to ban cryptocurrency exchanges.

This must be about the fifth time this rumour has circulated.

Haven't found any concrete evidence or a translation of an official announcement yet. I personally don't take these "rumours" seriously.


My Take On This Kind of "News"


My Take is that the Chinese government itself is likely one of the biggest investors in the cryptocurrency space.

Whenever they feel the need to buy more they "leak" this kind of information and start filling their buy orders.

They have banned bitcoin and bitcoin trading so many times it is not even funny any more. Looks like people are already panic selling though.

Screenshot 2017-09-08 16.27.53.png


But what if it is serious this time?


I don't think it is because the Chinese government will not only kill their own personal investments (which I'm 100% convinced they have) but they will also be killing a major revenue and growth stream for their own country.

They are not stupid.

But if somehow magically it did turn out to be true, I think it would be fantastic.


Why?


Because this is exactly the boost that decentralised exchanges like Bitshares, Waves, Bitsquare etc need to get people using them.

DEXs are the future but they don't have the volume/liquidity right now to be useful.

So personally I would love this to be true - even though it likely won't.

Even if it doesn't pan out I am pleased to have the opportunity to buy in to some more tokens and cryptos I want at a discount.

Remember the old Rothschild saying - "Buy when there is blood in the Streets".

The Chinese government seems to like making blood on the crypto streets on a regular basis, why not take advantage of it?


Thank you for reading


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ye i think that they will not ban and if they ban some exchanges , decentralised one like bitshares is the way to go :)
I just hope in china will not be a rule like ; chinese people only can use chinese crypto exchanger.(controlled by government )

Another red day nothing new :) in this day people sell a lot and who is calm buy a lot :)

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banning sometimes isnt that easy economically. F.E. when big mining farms, pay 2million dollars to the electricity factory. A lot of people benefit from cryptos in different ways, its not black and white area

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Another red day nothing new :) in this day people sell a lot and who is calm buy a lot :)

Exactly. Morons sell whilst the sensible people buy coins at a discount. The funny thing is the morons never seem to change this behaviour.

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Its probably just them starting it off causing a chainreaction of morons to dump. Noticed the first big sell off had happened ok OKCoin and then within a minute the rest of exchanges followed.

What's annoying is the chainreaction in all coins, you'd think btc losing value the others would stay or even grow in btc value while its happening. It feels like an co-ordinated attack not to let anyone profit by switching to alts except tether.

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problem is altcoins are exchanges with btc mostly and some to etherium, so if bitcoin drop they drop too, we need more exchange pairs like altcoin to altocoin not to btc, so then this swings not be so huge to altcoins.

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You can divert ressourced into smaller no name coins, but that does not help you and exposes you to volatility.

You'll just have to endure the manipulaiton because the big player (BTC, ETH etc.) will be the target of the manipulators.

However, you should appreciate that you are not falling into the trap (that is selling out of FUD aka fear, uncertainty, doubt).
According to the Pareto distribution that already makes you better than 80% of investors so cheers to you :D

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Its probably just them starting it off causing a chainreaction of morons to dump. Noticed the first big sell off had happened ok OKCoin and then within a minute the rest of exchanges followed.

Exactly. It is very suspicious - sad that people fall for it and not just once they keep getting suckered.

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Yes....Making mistakes or being fooled once is part of life.....Being subject to it again and again is unconscious stupidity.

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Exactly.

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that is why I thank god daily for giving me a brain capable of independent thought.

some people call me paranoid, but at least I don't panic as soon as someone screams the sky is falling because I already expected something worse than that and can keep my cool :P

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Being skeptical is not paranoia it is common sense.

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Yeah, it's sad.

I think people get suckered again and again because they believe the world is a bad place, though it actually is awesome.

If you believe that everything is bad it disempowers you and you end up not fighting and thus lose by default

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Actually the world is neither good nor bad. Believing it is consistently one or the other is where people make the mistake as it leads to false assumptions.

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I disagree with you: the world is only good.

All bad is derived from false assumptions and behavior in accordance to those false assumptions.

It is exactly as the Bible states: Satan was a liar from the beginning.

Everytime you do something bad, or somebody else does, they do it because they act on one of Satan's lies (misconceptions of the world). In a sense it's the result of ignorance, if you had perfect knowledge of the world, there would be no bad.

Hence, my people shall perish for lack of knowledge, etc.

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I disagree with you: the world is only good.

I disagree with that.

It is exactly as the Bible states: Satan was a liar from the beginning.

Organised religion is fairy stories for adults. There is no Satan. It is a lie that lets people shirk responsibility for their own actions.

Everytime you do something bad, or somebody else does, they do it because they act on one of Satan's lies (misconceptions of the world). In a sense it's the result of ignorance, if you had perfect knowledge of the world, there would be no bad.

Makes my point.

In a sense it's the result of ignorance, if you had perfect knowledge of the world, there would be no bad.

There is no such thing as perfect knowledge of anything.

Hence, my people shall perish for lack of knowledge, etc.

There is no "my people" - these kind of lies are responsible for countless deaths and wrong doing.

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I think its a more sort of rumour to fell the crypto market.....and likely for panic sellings......crypto is life

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And you can never go bust betting that morons will be morons.

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Lol yes. Someone should start a moron tracking index. The returns would be insane.

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You could pretty much take the mainstream advice and just bet against that like The Big Short guys and many others did. I too made a killing profit on Aug 1st dumping my BTC instead of BCH.

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Generally, that is a smart idea.

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And it works. Especially in market extremes. Now we are looking at celebrities promoting Bitcoin. With the weak fundamentals it has, BTC is a pure bubble. Blockchain has great future but Buttcoin does not.

Still I think BTC will have its reign for few more months. It's not like it can get bankrupt like stocks.

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Well, they would not be morons if they behaved intelligently. That is kinda the point of the word moron. So...

It's just that they do not have enough information and do not think.
I never invest money I cannot spare, some people, however, do so and then I can understand that you would worry quickly and sell immediately if you hear something bad to prevent losing everything.

But that is obviously the wrong approach to investing.

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Yes.

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Keep calm and hold btc until "green" again !!

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I think its a more sort of rumour to fell the crypto market.....and likely for panic sellings......crypto is life

Agreed, I think this was an over reaction of the market and the folks who are bitter about not having caught the train at the right time.
https://steemit.com/bitcoin/@wanderingmind/over-blown-market-reaction-on-bitcoin-news-from-russia-and-china

Good post and i agree

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Great.

they will never ban Bitcoin. It's like chopping off their arm.

Your post is very well done! Inspiring :D Follow & Upvoted :D Keep them coming!

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exactly and also they cant ban bitcoin, they can criminalize trading, mining or keeping it. The black market will still use it

...

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I have created a contest that is intended to benefit and motivate users who write in Spanish.

Great but don't spam your links or you will get a flag.

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sorry...

NEO might be a good pick, its the most chinafriendly coin

China often uses financial threats as leverage - it owns almost a third of the U.S. debt and every now and then, China threatens to sell part of its debt holding, knowing U.S. interest rates would rise and that would slow U.S economic growth. So, it wouldn't surprise me that they'd use a similar tactic to lower the price of Bitcoin so they could buy massive amounts at a lower price

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Yeah seeing that with chinese tourists who aren`t allowed to travel to Seoul anymore because South Korea added new defense systems against North Korea. China is powerful and will be powerful in the future.

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I agree. It's not Russia - it's China that's America's rival.

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I think that America still has the upper hand over both though.

Obviously it is possible that China leverages it's holdings, however, America can just default on foreign debt if they choose to do so. The Chinese military power does not match America's and thusly they cannot collect the outstanding debt by force.

Additionally, the US or the FED could basically devalue the debt that China holds by printing more and more money. Realistically, China's assets would soak up 1/3 of the loss in value of the dollar without hurting the American economy at all.

Obviously, either would be a drastic measure of the American government, however it shows you that America is far from done or losing the upper hand.

In the case of money printing for example, I think the Chinese economy would be hurt more drastically then the American, because the additional dollars created would be spend withing the US and not in China practically punishing China's economy if the US government implements a sensible policy that supports the American population via economic growth.

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a very informed and insightful response, @granunic0rn

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Yeah maybe...

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Exactly - I think it is quite probable.

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Yes. Exactly this ^

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Makes sense. I wonder what would happen if they let their currency float.

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exactly!

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Would be very interesting with dramatic implications.

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it certainly would!

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  ·  2 years ago (edited)

I guess the first thing that would happen is that it would to a large extent destroy their domestic industries because they will no longer be competitive on world markets. Maybe that is why they are now focusing on high quality products instead of just being the cheapest. In anticipation of an economically independent USA in terms of consumer goods, but even as far as oil is concerned. Very much like Germany. Germany used to make low quality products, and then I guess once they built up their customer base and internal manufacturing infrastructure, they started focusing on quality and eventually became synonymous with quality.

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those are some very good points - didn't know that about Germany, but it makes sense to me now

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There is this book The German Genius. I saw an interview with the author

😀

I would really like to see that coming (of course not because the price fall). I am a huge believer in decentralised exchanges. Those actions of countries will push innovations in that field tremendously. We at makerdao.com are working focused on our decentralised exchange oasisdex.com (currently only for ethereum tokens). We pushed a new version with automatic order matching a few days ago. Please check it out.

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Thanks I will look out for it.

Dude, you so fucking nailed it! For anyone who hasbeen in 'the space' for a few years this whole "China Syndrome" is just a joke.

How many more times...

...will peolple fall for this shit? It's hilarious! Although i must admit, initially i was regarding this new news as some kind slight against bitcoin. But alas, no. Hell! The big three exchNges in China are running smoothly and have had no official government intervention. What does that tell you? A: it's all a great, big, scam designed to undermine the price while -- yup! -- Chinese insiders scoop up cheap coins.

Bah ha ha ha! You can't make this shit up. How many times has bitcoin been killed by just China alone? And when i say killed, i mean discounted for a short while before the headlines once again start screaming ATH all over again...

Thanks for post! Upvoted and Resteemed 🤘😎

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Yes it has happened so many times that I don't worry about it anymore.

maxresdefault.jpg

We get the same rumor every year. China is not banning Bitcoin, where are their corrupt officials going to save their money, in dollars? hahaha

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Yes I think it happens more than once a year.

yeah so I heard ahah! lets see what it is this time, buy the dip!

I'm also don't think it's ban-able. People so smart there now with VPN despite the VPN ban.

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Exactly. I think most people who are even involved in cryptocurrency don't seem to understand that.

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Sometimes, it takes balls for the government people to do something cool.
Like to see how things develop in Estonia.

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True.

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Yeah I agree you cant

Grr, yes this is dumb.
We need more anarchy.

The Blockchain is a great technology and for the time being we can expect that emergent nature of the community will overcome all the bans, governments and restrictions and to continuously change technology on its way.

Having said this it's very difficult to bet on the right crypto, which one will be the one that will solve the specific issue of the moment?

My suggestion would be to:

  • yes spend time to select cryptos and tokens, look at graphs and read about teams and regulation
  • but always maintain a portfolio of cryptos so that you are not too exposed to idiosyncratic risk

I wrote a small series on diversification benefits and the income that can be created through it.

CryptoPortfolio - Extract a "diversification dividend" - Part 1: Geometric and Arithmetic Returns
CryptoPortfolio - Extract a "diversification dividend" - Part 2: Portfolio Risk and Diversification
CryptoPortfolio - Extract a "diversification dividend" - Part 3: How to make 8% more per year

I would be grateful to anyone who wants to take a look and let me know what he/she thinks! Thanks

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These links have nothing to do with the post. It is pretty obvious the whole purpose of your response was to get more views on your own posts. I would suggest avoiding this kind of behaviour as it is liable to get you flagged.

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Hi @thecryptofiend, like most people on steemit I'm trying to open a dialog and to get people to engage on my post.

But I respectfully beg to differ on the irrelevance of my post: I selected few posts where I posted this, I read them in full (usually upvoted them as well) and posted only on those that mentioned an idiosyncratic risk.

In your post you are discussing issues related to government intervention and bans which in turn disrupt the normal functioning of the market and create a mark-to-market loss in the accounts of those holding the specific security (or the security that is traded on the specific exchange).

My suggestion was simply to keep a diversified pool of assets so that these shocks have the smallest possible impact.

With this answer I don't want to make any polemical post and if you still think that my comment should not be under this post I will remove it.

Thanks for your consideration!

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My suggestion was simply to keep a diversified pool of assets so that these shocks have the smallest possible impact.

The suggestion itself does not require a list of your posts. It is a pretty blatant attempt at self promotion so please don't play coy about it.

Is it even possible to ban the exchanges? I mean that China has banned Facebook, for example. But it seems to me like everyone can get a VPN to access it. Wouldn't it be quite similar with the exchanges? The only difference is that the Chinese would start using US, EU, KR, JP and other exchanges.

An as any of the dips, a good opportunity to buy more at a discount :)

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They can only ban exchanges that are physically in China by going after the people running them. Even if they did that, as you point out people could trade on non Chinese exchanges or DEXs.

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That's exactly my point. How do you think things are going to end up with China?

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I don't think that the bitcoin exchange situation will change - they may at some point look at taxation changes. Also I think that the ICO ruling will be refined to allow new ICOs to be legal if they follow certain rules.

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And that's a good thing, isn't it?

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Depends on your perspective. I don't think it is a disaster although the less regulation there is the better IMO.

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Yes, depends. The ICOs is similar to investing in startups. Institutional investors know how to evaluate projects, but many-many of the people participating in the ICOs have zero idea and are there because it's hype. And therefore, they can lose money easily. I believe that there isn't the right solution, but I also believe that the people investing in the ICOs should be educated somehow.

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True but people need to take some responsibility for their own actions.

Oh China , make up your mind . I have doubt that it will be all of crypto. Maybe it's their way of "scaring" red alert in crypto is already being seen , maybe good time to invest ?! :D

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Yes it is the best time to invest. I think this is a deliberate "rumour" created so they can buy cheap.

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China and it's cheap ways :D thanks for the update

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NP:)

@hilarski shared this video on Facebook the other day, and it's still funny!

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Lol:) . The voices are pretty well done for the actual characters.

China will not do anything of the sort. It is a law that will not be enforceable. How exactly do they plan to "ban" crypto? If they shut down the exchanges they all the Chinese have to do is use a browser that relocates their IP, go to another close buy country to legally by cryptos and put it in their wallet, buy peer to peer with each other (arbitrage profits will be insane if that happens). They can't do it...thats why they have not done it. They are just trying to scare everyone on the off chance that it might become unpopular.

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They can't ban the cryptocurrencies or trading for that matter but they can scare people.

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That does make sense! I'm happy it happened, to be honest, coz' I bought a bit more. I hope they swing this one more time so I can pick up some more at ~$4000! Happy investing

I support your theory, this is not real, the day that passes no one is going to find out, that moment will be tragic. However, people who have power saving and able to absorb a tragic movement are taking advantage of this situation, in the advesidades is the real business.
Thank you very much dear friend @thecryptofiend, for this information and your point of view
Have a good weekend

Dude!
I LOVE this post. Such great insight here and with my limited experience my senses tell me you are RIGHT on!
The quite you sited says so much of which is still very relevant today "Buy when there is blood in the Streets".
The global elite still operate with the same tactics and mindsets in the modern world, it just appears different on the surface.

I really really like your posts and check ur page pretty often hoping you made a new one.

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Thanks:)

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THANK YOU!

I think @thecryptofiend .... That rumours will be only rumours because China itself is the beggist generator and exporter of Bitcoin and other crypto currencies..... Out of 100% mining China's Shares in Crypto world is alone 80% .... So China will never do this mistake to ban cryptocurrency exchanges.

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I know but the market still falls for it.

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Yes you are right, Market always influence by rumours...

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True because there are always people who will panic.

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And they also get benefits of these things....

The premise of cryptocurrency is to rebel against government, this is expected and will not stop cryptos.

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Right and you can't stop them. Kind of the point of decentralisation.

yep I agree with you. If china banned cryptocurrency they would be shooting themselves in the foot.

  ·  2 years ago (edited)

Definitely DEX is the way to go, the more and more this type of exchanges appear, the more volume will be traded there and this kind of rumors, news, and even real shutting down enforcements will just be meaningless to the markets.
Bitcoin is all about Decentralization, we just are so used to centralized organizations and culture, it takes some time to evolve and introduce the whole concept of decentralization into all kind of business, but eventually, we will get there.

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I think so.

  ·  2 years ago (edited)

Because China is such a big player in the cryptocurrency field, playing a rumor like this can actually pay off in their favor. And anyway the market is continuously moving forward and therefore changing, and those involved in the entire transaction process will win, or loose, depending on their patience and instinct I guess... Great post! 👍

Update!!!

Check out my latest post here : https://steemit.com/life/@benjy87/you-wanted-something-interesting-you-got-something-mind-blowing-2017910t20740270z

Thank you!

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Thanks. I think that is exactly what is happening. Even if it is only a few senior insiders within the government - I think there is definitely some kind of price manipulation effort behind these moves.

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  ·  2 years ago (edited)

When is money to be made, most of the times, people who already have money are going to bend the rules and turn the games into their favor. It's just the way life goes...

Update!!!

Check out my latest post here : https://steemit.com/life/@benjy87/you-wanted-something-interesting-you-got-something-mind-blowing-2017910t20740270z

Thank you!

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I agree.

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Please don't spam unrelated links in comments.

Great article. As a newbie to Crypto, this is the kind of thing someone like me worries about. As I read more and invest time into crypto, its much like anything else... watch the signs, get past the emotional side of it, and buy low. This isnt a bad thing, it just means you can buy more at lower prices if I am tracking.

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Exactly and just to be clear the whole point about cryptocurrencies is that they are decentralised and can't be banned. Even trading them cannot be completely banned. That is part of why they are so revolutionary.

This might be the reason i could see mostly all RED in bittrex now.Just like the ICO ban few days back,hope it will recover soon.Time to buy then.

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Yes made some nice profits on the ICO "bad news" - bad news is good news in crypto terms if you want to buy at a good price.

We may need China to stock our Walmart shelves, but we don't need China for Bitcoin. Go ahead China.. make. my. day.

Oh no.
124.jpg

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I don't think there is any reason for worry either way.

When they banned ICO's a few days ago, almost everything was red, I bought a few coins and after two days, most of them doubled or tripled.
Whatever it is, your move can help you take advantage of every opportunity.

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Exactly and yet people still get suckered into selling for a loss.

Fake news, trying to preserve fake money.

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Exactly and yet people fall for it every time.

Yea, these rumours are like sales on Christmas, everything gets cheaper and all we need to do is to buy available crypto. Waiting for a little drop more and makeng investment.

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Exactly. Yet many fools will be selling now and buying when the next rise comes and then they wonder why they keep losing money.

  ·  2 years ago (edited)

🗅

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Only if you sell.

@thecryptofiend, I bless the day I followed you here. I've learnt a lot from your posts.
Ps: the only thing I'm yet to learn is how to be on the trendy page.

Through reading your write-ups and some threads from bitcointalk, I know it's time to buy. But unfortunately, I have very little amount of money on me now. It would have been an opportunity to be a millionaire.

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There will be other opportunities.

I think that the Chinese have something going on with Bitcoin, such as a large stake in the game. As you stated, the Chinese government is NOT about to close the doors on their piggy bank of wealth. I also believe that they drum up this type of hysteria every once in a while to simply lower the price, buy in a cheaper rate and then cash out when the positive correction occurrs. Just my 2 cents.

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Yes that is what I think too.

whether or not they ban it is a good question, but the People's Bank has already made moves against cryptocurrency as a whole. Considering the history of the Chinese financial system, it's safe to say the government will be asking for their cut.
We wont really know where it stops until it begins.

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I suspect all governments will want their cut at some point.

With mining being what it is in China, the Chinese government would be stupid to really undermine bitcoin by banning exchanges. The Chinese government may be a lot of things, but they are not stupid.

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Exactly and I suspect they are secretly some of the biggest (personal) investors in cryptocurrencies.

This you said here might be true to some extent.

My Take is that the Chinese government itself is likely one of the biggest investors in the cryptocurrency space.

I guess it has work for them in the past,its okay to continue it.
If it is true then what a smart move by them and no one will ever know!

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Happens so often that if it isn't a deliberate market manipulation someone is missing out.

"But what if it is serious this time?"

Then India can cover the slack.

China population: 1.37 Billion
India population : 1.32 Billion

And now that India is supporting Bitcoin:

https://cointelegraph.com/news/suddenly-bitcoin-to-be-officially-legal-in-india

All we need is for India to buy $5/person average, of Bitcoin, and China can go back to what they do best, propagate communism.

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Even if it is serious I doubt it will stop the Chinese enthusiasm for long and as you point out there are plenty of other countries to fill the temporary void.

Hihi, nice cake-poatoe-fake news, imho.
Blood on the streets? Well, I don't see than a little sweat, no tears. ;)
Anyway, it's not like I don't think it could happen, I just think it is very unlikely that China bans one of the best performing new technologies out there.

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Exactly don't think it will happen.

The frustrating thing is that this doesn't even have to be the Chinese government. There is a distinct lack of reliable news sources for cryptocurrency and it has become very easy to promote "alternative facts" and manipulate currency values.

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Absolutely been going on since I've been here and that's only about 4 years.

It's starting to piss me off.

Maybe they should regulate their amateur media industry.

This is causing a major reluctance in new buyers. If it's this easy to manipulate and rob the public ,why would anyone put their foot on that fragile soil?

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As time goes on and the market gets bigger it becomes harder to manipulate. Further all markets including the regular stock market are subject to manipulation - there is no such thing as a completely fair and non manipulated market. If anything cryptocurrencies improve the situation due to greater transparency (in most cases).

I can't believe it could be serious, they would just basically be banning themselves from Bitcoin, like you said, their own investments. madness!

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It was just a fabrication I believe. I haven't seen any official confirmation. Thing is the market still reacts to fake rumours as if they were real.

Awesome post man!!! I've been repeating myself this though for a couple of weeks. This is the best way to panic people and make prices go down so they can buy. Chinese gov and by today I think almost all the countries gov know this will be a revolution in the future economy, so it would be dumb to think they don't have a plan already set. Is great to see experienced people talking about this, it lets me know I'm doing good on my researches and analysis lol.