Old soap: China has banned Bitcoin 5 times since 2013
From 2013 until today, China has already announced the banning of Bitcoin and other cryptocurrencies in its territory on at least 5 occasions. The most recent case occurred last week when the Asian country said it would act to crack down on mining and Bitcoin trade.
Although the announcement helped bring down the price of Bitcoin with the panic in place, those who have been in the market for the longest time know that these episodes are recurring.
As Pantera Capital CEO Dan Morehead noted in a tweet published on Thursday (27), the restrictions are nothing new.
Haven’t we seen this movie before? pic.twitter.com/sliKaHpgSN
— Dan Morehead (@dan_pantera) May 27, 2021
The first case occurred in December 2013 and was reported by Bloomberg. The headline said: “China Bans Financial Companies From Bitcoin Transactions.”
Another case occurred about 4 years later, in September 2017. On the occasion, something similar to the previous episode happened.
In the same month, China also announced a ban on initial coin offers (ICOs). As TechCrunch reported, the ban was announced by a committee led by the Chinese central bank.
In 2017, ICOs experienced their peak, with the launch of numerous projects. In view of this, China tried to try to ban ICOs, as the phenomenon “seriously disturbed the economic and financial order”.
In this episode, the Asian country is a little right about financial security. In fact, many projects proved to be fraudulent, harming several investors.
Also in 2017, more precisely in November, it was Forbes’ turn to report on the “definitive death” of cryptocurrency exchanges in the country.
According to the report, the ban announced in September had fulfilled its mission. That’s because, on November 2, the last exchange ended its operations in China. The country has also made it illegal for the Chinese to trade digital currencies on national territory.
The warning had little impact on trading platforms, which only migrated their headquarters. Regarding the ban on trading the Chinese, they also continued to trade cryptocurrencies normally.
Finally, there is the most recent case from May 2021. After banning financial institutions from offering cryptocurrency services to their customers, the Asian country has again banned Bitcoin mining and trading.