The Chinese government started a fresh crackdown on cryptocurrency and its operations within its country a few days ago. Enthusiasts have been actively watching to see the effect of the action by the Chinese government. A blanket ban on everything related to cryptocurrency was issued recently and it has caused ferocious waves to rise.
Some crypto exchanges have started blocking their Chinese users from accessing their infrastructure and services.
The Chinese government and its bodies have actively spoken against cryptocurrencies and outlawed mining within the country, but this recent blanket ban will also affect exchanges. In the past, foreign platforms could offer their services to Chinese users over the internet because it was a grey area, but this seems to be changing.
At the moment, residents in the mainland of China are not allowed to create new accounts in Binance and Huobi Global.
According to the conversation between Reuters and the Huobi Group co-founder, Du Jun, “On the very day, we saw the notice, we started to take corrective measures.”
A crypto wallet provider, TokenPocket, has released a notice stating that it will follow the laws and regulations, and as a result, it will no longer offer its services to residents in Mainland China.
According to Reuters, “Shares in crypto-related firms tumbled on Monday with the crypto asset management and trading firm Huobi Tech (1611.HK) plunging 23% and OKG Technology Holdings Ltd (1499.HK), a fintech company majority-owned by Xu Mingxing, the founder of crypto exchange OKcoin, losing 12%.”
