TechCentralTechCentral
    Facebook Twitter YouTube LinkedIn
    Facebook Twitter LinkedIn YouTube
    TechCentralTechCentral
    NEWSLETTER
    • News

      Google’s giant Equiano Internet cable has landed in South Africa

      8 August 2022

      The African tech start-ups eyeing global markets

      8 August 2022

      Karpowership loses bid to overturn environmental ruling

      8 August 2022

      New app launched to tackle potholes in South Africa

      8 August 2022

      Rogue database felled Capitec in its worst-ever IT outage

      7 August 2022
    • World

      Nvidia issues profit warning on slump in demand for graphics cards

      8 August 2022

      Buterin: Mining on Ethereum Classic won’t affect Merge

      8 August 2022

      Musk challenges Twitter CEO to a public debate

      7 August 2022

      Amazon splashes $1.7-billion on Roomba maker iRobot

      5 August 2022

      Nigeria asks Google to block banned groups from YouTube

      5 August 2022
    • In-depth

      The length of Earth’s days has been increasing – and no one knows why

      7 August 2022

      As Facebook fades, the Mad Men of advertising stage a comeback

      2 August 2022

      Crypto breaks the rules. That’s the point

      27 July 2022

      E-mail scams are getting chillingly personal

      17 July 2022

      Webb telescope’s stunning images of the cosmos

      12 July 2022
    • Podcasts

      How South Africa can woo more women into tech

      4 August 2022

      Book and check-in via WhatsApp? FlySafair is on it

      28 July 2022

      Interview: Why Dell’s next-gen PowerEdge servers change the game

      28 July 2022

      Demystifying the complexity of AI – fact vs fiction

      6 July 2022

      How your organisation can triage its information security risk

      22 June 2022
    • Opinion

      SIU seeks to set aside R215-million IT tender

      19 July 2022

      No reason South Africa should have a shortage of electricity: Ramaphosa

      11 July 2022

      Ntshavheni’s bias against the private sector

      8 July 2022

      South Africa can no longer rely on Eskom alone

      4 July 2022

      Has South Africa’s advertising industry lost its way?

      21 June 2022
    • Company Hubs
      • 1-grid
      • Altron Document Solutions
      • Amplitude
      • Atvance Intellect
      • Axiz
      • BOATech
      • CallMiner
      • Digital Generation
      • E4
      • ESET
      • Euphoria Telecom
      • IBM
      • Kyocera Document Solutions
      • Microsoft
      • Nutanix
      • One Trust
      • Pinnacle
      • Skybox Security
      • SkyWire
      • Tarsus on Demand
      • Videri Digital
      • Zendesk
    • Sections
      • Banking
      • Broadcasting and Media
      • Cloud computing
      • Consumer electronics
      • Cryptocurrencies
      • Education and skills
      • Energy
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Motoring and transport
      • Public sector
      • Science
      • Social media
      • Talent and leadership
      • Telecoms
    • Advertise
    TechCentralTechCentral
    Home»Sections»Cryptocurrencies»China bans crypto mining and trading nationwide

    China bans crypto mining and trading nationwide

    Cryptocurrencies By Agency Staff24 September 2021
    Facebook Twitter LinkedIn WhatsApp Telegram Email

    China intensified a crackdown on cryptocurrency trading on Friday, vowing to root out “illegal” activity and banning crypto mining nationwide, hitting bitcoin and other major coins and pressuring crypto and blockchain-related stocks.

    Ten Chinese government agencies, including the central bank as well as banking, securities and foreign exchange regulators, said in a joint statement they would work closely to maintain a “high-pressure” clampdown on trading of cryptocurrencies.

    The People’s Bank of China (PBOC) said cryptocurrencies must not circulate in markets as traditional currencies and that overseas exchanges are barred from providing services to mainland investors via the Internet. The PBOC also barred financial institutions, payment companies and Internet firms from facilitating cryptocurrency trading.

    There’s a degree of panic in the air. Crypto continues to exist in a grey area of legality across the board in China

    The moves come after China’s State Council, or cabinet, vowed in May to crack down on bitcoin mining and trading as part of efforts to fend off financial risk, sparking a major sell-off of cryptocurrencies.

    The Chinese government will “resolutely clamp down on virtual currency speculation, and related financial activities and misbehaviour in order to safeguard people’s properties and maintain economic, financial and social order”, the PBOC said in a statement on its website.

    In response to the latest move, bitcoin, the world’s largest cryptocurrency, dropped over 6% to US$42 2167, having earlier been down about 1%. Smaller coins, which typically rise and fall in tandem with bitcoin, also tumbled. Ether fell 10% while XRP dropped by a similar amount.

    ‘Imperative’

    “There’s a degree of panic in the air,” said Joseph Edwards, head of research at cryptocurrency broker Enigma Securities in London. “Crypto continues to exist in a grey area of legality across the board in China.”

    The move also hit cryptocurrency and blockchain-related shares.

    US-listed miners Riot Blockchain, Marathon Digital and Bit Digital slipping between 6.3% and 7.5% in premarket trading. China-focused SOS dropped 6.1% while San Francisco crypto exchange Coinbase Global fell 3.4%.

    The National Development and Reform Commission (NDRC) said it was launching a thorough, nationwide clean-up of cryptocurrency mining. Such activities contribute little to China’s economic growth, spawn risks, consume a huge amount of energy and hamper carbon neutrality goals, it said.

    It’s an ‘imperative’ to wipe out cryptocurrency mining, a task key to promoting high-quality growth of China’s economy

    It’s an “imperative” to wipe out cryptocurrency mining, a task key to promoting high-quality growth of China’s economy, the NDRC said in a notice to local governments.

    Virtual currency mining had been a big business in China before a crackdown that started earlier this year, accounting for more than half of the world’s crypto supply.

    The NDRC said it will work closely with other government agencies to make sure financial support and electricity supply will be cut off for mining. The national planning body also urged local governments to come up with a specific timetable and road map to eradicate such activities.

    Previous restrictions, issued by local governments, paralysed the industry as miners dumped machines in despair or sought refuge in places such as Texas or Kazakhstan.  — (c) 2021 Reuters

    Bitcoin
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email
    Previous ArticleUS is said to reach deal with Huawei CFO in extradition case
    Next Article China shifts balance of power in $1.9-trillion crypto industry

    Related Posts

    Google’s giant Equiano Internet cable has landed in South Africa

    8 August 2022

    The African tech start-ups eyeing global markets

    8 August 2022

    Nvidia issues profit warning on slump in demand for graphics cards

    8 August 2022
    Add A Comment

    Comments are closed.

    Promoted

    You don’t need a call centre to take advantage of call centre technology

    5 August 2022

    Black man, you are still on your own

    5 August 2022

    UC&C interoperability offers businesses operational cost relief in tough times

    4 August 2022
    Opinion

    SIU seeks to set aside R215-million IT tender

    19 July 2022

    No reason South Africa should have a shortage of electricity: Ramaphosa

    11 July 2022

    Ntshavheni’s bias against the private sector

    8 July 2022

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    © 2009 - 2022 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.