Crypto platforms begin cutting off Chinese users

After China declared an aggressive crackdown on digital assets last week, cryptocurrency exchanges have began blocking access to their websites for Chinese consumers.

Binance, a trading platform, has declared that it will no longer accept new user registrations from mainland China. According to Business Insider, the company’s domain has been prohibited in China for years, but it is now also prohibiting registrations from Chinese telephone numbers.

Binance takes its compliance obligations extremely seriously and is committed to adhering to local regulator standards wherever we operate,” according to a Binance spokeswoman.

Huobi Global is another prominent exchange that is attempting to lose Chinese users following the announcement of the crackdown.

The company said that it will no longer deal with Chinese users by the end of the year and promised to “ensure the safety of users’ assets,” albeit no details were provided.

“We will notify users of the particular arrangements and information via official announcements, e-mails, text messages, and other means,” Huobi stated in a statement. “Huobi Global has always been committed to providing digital asset trading services and safeguarding the security of customer assets while adhering to all applicable laws.”

The value of Huobi Token, the exchange’s digital coin, has plummeted as a result of China’s crackdown. It is now worth roughly half of what it was before China’s stunning statement on Friday.

According to the People’s Bank of China, all cryptocurrency transactions are now unlawful, and internet services promoting cryptocurrency trading and foreign cryptocurrency exchanges are prohibited. Beijing has also pledged to eradicate bitcoin mining within its borders.

TokenPocket, a cryptocurrency-storing digital wallet, stated over the weekend that it would also be discontinuing some operations for Chinese consumers. According to the corporation, it has decided to “embrace applicable regulatory provisions” from Beijing.

The latest cryptocurrency prohibitions come on the heels of the Chinese government’s previous condemnations and regulatory efforts against cryptocurrencies.

In May, Chinese Vice Premier Liu He urged for a “crackdown on bitcoin mining and trading conduct, as well as a firm prohibition on the transmission of private risks to the social field.”

Cryptocurrencies, which are extremely sensitive to regulatory concerns, plummeted dramatically in the aftermath of China’s announcement on Friday. Bitcoin fell more than 6% as a result of the news, falling to around $41,000. On Friday morning, Ethereum lost about 9% of its value, falling below $2,800, and Ripple fell by more than 8%.

Since the initial dip, Bitcoin and other cryptocurrencies have leveled off, with the main cryptocurrencies trading at around even with the previous day. Bitcoin was trading between $43,000 and $44,000 on Monday, after reaching a multi-month high of about $53,000 earlier in September.

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