China’s Crypto Crackdown Hits Five Exchanges

In this article (5)
China’s crackdown on cryptocurrencies has led at least five local exchanges to halt servicing of domestic users or their whole operations altogether.
Last week, Chinese exchange operators Bitsoda and Akdex announced that it would cease its operations. Btuex and Idax said they would close domestic operations and focus on overseas users. Biss said it had halted ops while it cooperates in investigations with local authorities.
The exchanges account for the five known exchanges that have suspended or shut down their operations. Other players that are believed to be affected include Binance and Tron whose Webio accounts have reportedly been suspended.
Weeks after Beijing declared support for blockchain technology, the market has been rushing to capitalize on perceived opportunities from digital currencies. This subsequently led regulators in Shanghai, Shenzhen, and Beijing to ramp up efforts to probe or shut down exchanges.
Concurrently, China is readying to realize part of its blockchain ambitions with the launch of its own central bank-backed digital currency. It is already making accelerated efforts to ready the regulatory grounds for the launch including the introduction of new standards in 17 areas of emerging technologies which include not only blockchain but also cloud services and artificial intelligence.
Questions & Answers
Q.Which exchanges have completely ceased their operations in China?
Which exchanges have completely ceased their operations in China?
Bitsoda and Akdex are the two Chinese exchange operators mentioned in the article that have announced they will cease their operations entirely. The article does not specify if other exchanges have also fully shut down.
Q.Why are some cryptocurrency exchanges facing closure or investigations in China?
Why are some cryptocurrency exchanges facing closure or investigations in China?
Regulators in Shanghai, Shenzhen, and Beijing have ramped up efforts to probe or shut down exchanges. This action follows the market rushing to capitalise on opportunities from digital currencies after Beijing declared support for blockchain technology.
Q.What is China's current stance on blockchain technology?
What is China's current stance on blockchain technology?
Weeks before the crackdown, Beijing declared support for blockchain technology. Concurrently, China is preparing to launch its own central bank-backed digital currency, indicating an ambition to utilise blockchain in certain areas.
Q.Are only local Chinese exchanges being affected by the regulatory changes?
Are only local Chinese exchanges being affected by the regulatory changes?
No, the article suggests other players are also believed to be affected, including Binance and Tron. Their Webio accounts have reportedly been suspended, indicating a broader impact beyond just local Chinese exchanges.