Whether the bit coin bubble collapsed due to the Chinese government's intention

BTC China, a major exchange in the virtual currency Bitcoin (Bitcoin) officially announced that it will stop all transactions on September 30, 2017. Bit coin which updated the highest value of 1 BTC 5000 dollars (about 550 thousand yen) plunged due to suspension of transactions of Chinese major exchange which intends Chinese government to intensify crackdown on virtual currency such as bit coin, the collapse of bubble burst It has the aspect of.

Bitcoin is dropping right now after a big Chinese exchange said it is closing
https://www.cnbc.com/2017/09/14/bitcoin-is-dropping-right-now-after-a-big-chinese-exchange-said-it-is-closing.html

China Securities Regulatory Commission says it will strengthen regulations on virtual currency on 4th September 2017NoticeWas issued. It is suggested that the Chinese government is dealing with money laundering and illegal overseas remittance related to transactions of virtual currency for exchanges that mediate the buying and selling of virtual currencies such as bit coins in the notice It was. As for the "ICO (Initial Coin Offering)" that raises funds by issuing its own new virtual currency, like IPO procuring funds through public offering, the Chinese People's Bank of the central bank "disturbs the financial order markedly "We have adopted emergency measures to prohibit the immediate day, and the expectation that the Chinese government's regulation of the virtual currency will be strengthened among market participants.

Meanwhile, BTC China, one of the three major exchanges in China, officially announced suspension of all virtual currency trading and registration of new users as of the end of September 2017. The reason is that "the result of deliberating the Chinese government's letter issued on September 4, 2017".

1 / After carefully considering the announcement published by Chinese regulators on 09/04, BTCChina Exchange will stop all trading on 09/30.

- BTCC (@ YourBTCC)September 14, 2017

As BTC China stopped trading, the price of bit coin is plummeting. It has fallen more than 30% in just two weeks from the highest historical record that surpassed the mark of $ 5000 (about 550,000 yen) in early September 2017.


At the time of article creation, the huobi of the major exchange other than BTC China and the relative price (OK Coin) do not clarify the future handling of the virtual currency. If the world first and second place huobi and OK Coin follow the transaction suspension measures, following the BTC China which has the volume of about 10% of the total in the world, the possibility that the bit coin market will further decline It seems likely.

Order to have a virtual currency is high anonymity, such as Bitcoin, such as being exploited in illegal remittance of the money laundering and overseas, because it can be used in the crime, it has been studied tighter regulation by government agencies in each country I will. Furthermore, there are also indications that there are circumstances unique to China as well as the prevention of abuse against crime as a background to strengthening regulations on virtual currencies. The Chinese government for the wealthy of trends tending to move while changing the asset to the virtual currency such as Bitcoin in anticipation of future yuan depreciation from China to overseas is likened that has become sensitive.


As the Chinese government got the first battle, the market has become disorganized due to the anticipation that the distribution of bit coins will be extremely bad in the future, but the market has declined, but trading at exchanges outside of China Because there is no regulation, there are some optimistic expectations that the confusion will fit for a while. Nonetheless, it is certain that the fact that the market price fluctuates due to the Chinese government's intention and trends in exchanges in China has shown China risk inherent in bit coins, too.