China announced its victory over cryptocurrencies-is this the end of the crackdown? – Cointelegraph Magazine

This weekly news summary from China, Taiwan, and Hong Kong attempts to plan the most important news in the industry, including influential projects, changes in the regulatory environment, and enterprise blockchain integration.

Supervisor’s victory

After a turbulent summer blow, Chinese regulators announced their victory in eliminating illegal cryptocurrency trading activities in the country. This revelation comes from “China Financial Stability Report 2021The People’s Bank of China announced on September 3.

In the heading Major achievements have been made in the battle to prevent and resolve major financial risksIt is emphasized that the supervision of Internet asset management, equity crowdfunding, Internet insurance, virtual currency transactions, online foreign exchange transactions and other fields has basically been completed.

The lengthy report of the People’s Bank of China announced victory in the fight against digital assets. Source:

Although this sounds like a huge negative impact on the industry, most projects and companies in China now breathe a sigh of relief. The end of the suppression means that companies can have more breathing room to operate without worrying about legal proceedings.

China’s public blockchain industry, or what is left of it, will no longer exist in the shadows. I also hope that the forthcoming column of Shanghainese will discuss development and innovation more instead of cracking down on it.

Although exchanges and brokers will certainly stay away from China for a long time, most of the damage done by regulators has affected the mining sector. Players such as ByBit and Amber have announced that they will not accept Chinese users. If the risks and rewards of doing business in China are not balanced, this may be the future trend. Big players like Binance and FTX will have bigger decisions to make, but for now, they are not shying away from providing services to Chinese users.

From Sichuan to San Antonio

After gradually ending their business in China, many large mining companies began to look for more environmentally friendly pastures overseas. Since Texas Governor Greg Abbot tweeted that Texas will become the leader in cryptocurrency, many cryptocurrency mining companies have moved to the Lone Star State to seek regulation stability.

Bitmain is the world’s largest mining manufacturer with facility In Rockdale, Texas. Rockdale is a small town with less than 6,000 people, a far cry from the 21 million people living in Beijing.By the way, Bitmain is also deploying $62 million worth of hardware Enter Georgia.

File: US Highway 79 is the main street in Rockdale, Texas IMG 2255.JPG-Wikimedia Commons
This quiet town in Texas is now home to large Bitcoin mining facilities. (Source: Wikimedia Commons)

Shenzhen-based BIT Mining also invested US$26 million to build a data center in Texas. It joined BlockCap, Riot Blockchain and other mining companies already in the region.All these businesses will be encouraged by the news signed by state legislators Texas House of Representatives Bill 4474 and 1576, legalized cryptocurrency under the commercial law.

Texas is now the fourth state in the United States to recognize the status of digital assets, providing investors and companies with clarity that China lacks. This summer alone, different regulatory agencies in China have become disgusted with the legal status of cryptocurrencies. This has led to a weakening of people’s confidence in the sustainability of the Chinese market, which should push more companies overseas.

One country, two regulators

Executive Officer of the Securities and Futures Commission of Hong Kong Believe The number of recent fraud cases indicates the need for stricter supervision. The Special Administrative Region has a much more relaxed policy on digital assets, allowing exchanges like FTX, Bitfinex and other financial technology companies to open stores.

Hong Kong has always been seen as a bridge between companies and the strong Chinese market, although this dynamic has begun to reverse in recent years. As Hong Kong’s rules tighten and uncertainty increases, Singapore’s growth in the cryptocurrency sector is much faster, and many well-known industry players have settled there.

Irreplaceable trend

The overall trend of NFTs has not disappeared in the Chinese market. OKExChain launched its OKExNFT market On September 2, join the ranks of Binance and FTX, which have launched similar platforms.

Although it does not have the most creative naming team, it does accommodate many Loot-lookalike NFTs named Root, aiming to seize the NFT and GameFi markets. China’s gaming and trading markets have been very active in the past, so this is a logical move. Whether OKExChain can match the success of other exchange side chains remains to be seen.

Steph Curry’s decision to join FTX as an ambassador has received mixed reviews because it was pointed out that this NBA star, known for his playful personality in China, has matured into a business master.

OKExNFT Marketplace was launched this week, offering small GameFi products.

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