{"id":256240,"date":"2021-05-21T20:09:34","date_gmt":"2021-05-21T17:09:34","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/bitcoin-falls-after-china-calls-for-crackdown-on-mining-trading\/"},"modified":"2021-05-21T20:09:34","modified_gmt":"2021-05-21T17:09:34","slug":"bitcoin-falls-after-china-calls-for-crackdown-on-mining-trading","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/bitcoin-falls-after-china-calls-for-crackdown-on-mining-trading\/","title":{"rendered":"#Bitcoin falls after China calls for crackdown on ‘mining,’ trading"},"content":{"rendered":"

“#Bitcoin falls after China calls for crackdown on ‘mining,’ trading<\/strong>”<\/p>\n

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The price of bitcoin and other cryptocurrencies dropped Friday after Chinese authorities called for a crackdown on \u201cmining\u201d and trading.<\/p>\n

The Chinese government said <\/a>in a statement that greater reform and regulation is needed to protect the country\u2019s financial system and economy. <\/p>\n

Among the recommendations listed, the authorities said it is necessary to \u201ccrack down on Bitcoin mining and trading behavior, and resolutely prevent the transmission of individual risks to the social<\/a> field,\u201d according to a Google translation of the Chinese statement. <\/p>\n

The statement was the result of a meeting held earlier Friday by the Financial Stability and Development Committee of the State Council, which was presided over by Vice Premier Liu He, who also serves on the 25-member Politburo of the Communist Party of China. <\/p>\n

Bitcoin\u2019s price fell more than 8 percent after the statement was published, according to data from Coinbase. The price of ether, the native currency on the Ethereum blockchain, fell more than 13 percent and the price of dogecoin plunged over 14 percent.<\/p>\n

\"A
A bitcoin mine site manager seen inside the facility near Kongyuxiang, Sichuan, China.<\/figcaption>
Paul Ratje\/For The Washington Post via Getty Images<\/span><\/figcaption><\/figure>\n

Bitcoin was the only cryptocurrency mentioned by name in the statement from Chinese authorities.<\/p>\n

\u201cIt is necessary to maintain the smooth operation of the stock, debt, and foreign exchange markets, severely crack down on illegal securities activities, and severely punish illegal financial activities,\u201d the statement said.<\/p>\n

\"An
An aerial view of a bitcoin farm next to a hydropower station in Mabian Yi Autonomous County, in southwest China\u2019s Sichuan province.<\/figcaption>
Imaginechina via AP Images<\/span><\/figcaption><\/figure>\n
\"Haobtc's
Haobtc\u2019s bitcoin mine is pictured in remote mountains on the edge of the Tibetan Plateau near Kongyuxiang, Sichuan, China.<\/figcaption>
Paul Ratje\/For The Washington Post via Getty Images<\/span><\/figcaption><\/figure>\n
\"Ryan
Ryan Xu, chief strategy officer and co-founder of Bitcoin Group Limited, shows off mining equipment inside his company\u2019s bitcoin mine near Kongyuxiang, Sichuan, China.<\/figcaption>
Paul Ratje\/For The Washington Post via Getty Images<\/span><\/figcaption><\/figure>\n

The statement also touched on using monetary policy to \u201censure employment\u201d and support the real economy. <\/p>\n

Friday\u2019s statement comes after another issued earlier this week by three Chinese banking and payment industry bodies. On Tuesday, they warned financial institutions not to offer clients any service involving cryptocurrency, including registration, trading, clearing and settlement.<\/p>\n

\u201cRecently, crypto currency prices have skyrocketed and plummeted, and speculative trading of cryptocurrency has rebounded, seriously infringing on the safety of people\u2019s property and disrupting the normal economic and financial order,\u201d they said in the statement.<\/p>\n

That statement helped prompt a major sell-off that sent the price of bitcoin below $40,000 per coin for the first time in three months. <\/p>\n

China has already banned crypto exchanges and initial coin offerings but has not barred individuals from holding cryptocurrencies.<\/p>\n

The statement also comes after US regulators signaled Thursday that they could soon crackdown on cryptocurrency here in the States. The Treasury Department announced it will require any transfer worth $10,000 or more to be reported to the Internal Revenue Service, saying that cryptos pose a rise of tax evasion. <\/p>\n

\"Bitcoin
Bitcoin mining machines seen running at a bitcoin farm in Mabian Yi Autonomous County, China.<\/figcaption>
Imaginechina via AP Images<\/span><\/figcaption><\/figure>\n

Julius de Kempenaer, senior technical analyst at Stockcharts.com, told the Post earlier this week, before China\u2019s Friday announcement, that a rapid recovery of bitcoin and the broader crypto market is possible, but the overall upside potential is limited and the downside risk is huge.<\/p>\n

\u201cThe saying never catch a falling knife seems very app<\/a>ropriate as it is raining knives in the crypto space at the moment,\u201d he said.\n <\/p><\/div>\n

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If you want to read more News<\/a> articles, you can visit our News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n

Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

“#Bitcoin falls after China calls for crackdown on ‘mining,’ trading” The price of bitcoin and other cryptocurrencies dropped Friday after Chinese authorities called for a crackdown on \u201cmining\u201d and trading. The Chinese government said in a statement that greater reform and regulation is needed to protect the country\u2019s financial system and economy. Among the recommendations…<\/p>\n","protected":false},"author":1,"featured_media":256241,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/05\/bitcoin-china-hp1.jpg?quality=90&strip=all&w=1200","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[74862,106675,4973,76127],"class_list":["post-256240","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-bitcoin","tag-5-21-21","tag-china","tag-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/256240","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=256240"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/256240\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/256241"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=256240"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=256240"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=256240"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}