In recent years, BTCC was iconic in terms of being the first cryptocurrency exchange in China. Founded in 2011, it was forced to stop trading in cryptocurrency due to a ban by the Chinese government in 2017. However, BTCC did manage to work around this by selling its operations to a Hong Kong-based firm that worked in blockchain investment, creating a stir in blockchain regulation news. With this recent development, it appears BTCC has ceased to have involvement in the cryptocurrency business.
A Complicated Issue
The reason that BTCC gave for pulling out of the cryptocurrency market was due to increased pressure in terms of financial regulations. This clampdown on cryptocurrency and any activities that are related to cryptocurrency has been part of the Chinese government’s efforts to avoid capital losses in this area. It has also meant that cryptocurrency miners have made their ways to other neighboring territories in order to continue their work. This has also impacted blockchain regulation news around the world.
The Impact of this Blockchain Regulation News
As a result of this, BTCC is now moving into activities that are focused on the blockchain arena. There have been reports that their stake in ZG.com, which is registered in Singapore, the United States, the Seychelles and other countries has been sold to a foundation in Dubai (which has yet to be formally identified).
The Chinese government has approved using blockchain, citing it as part of what has been referred to as “the fourth industrial revolution program.” It will be interesting to see how this will affect cryptocurrency into the future, as well as how much the Chinese government’s wish to push into the blockchain realm will make an impact.