Eight months on since China was featured on a Newsnight discussion of their ban on crypto-trading, speculation is increasing the world’s second biggest economy may ditch the title of the only country of relevance to ban cryptos and may u-turn.
A daily Chinese tabloid newspaper under the auspices of the People’s Daily seemingly reflected ordinary people’s opinion in China that the ban may have gone too far and that regulation may be more appropriate. In an editorial, they say:
“There’s an increasing belief that just saying no to bitcoin won’t be the eventual solution to the cryptocurrency issue. A more fundamental approach would be to embrace the new technology without putting the country’s financial system at stake.”
The appointment of a new governor at China’s Central Bank in March made some wonder whether they will soften their stance.
Even before then, rumors kept circulating in China following a meeting between Huobi and central bank officials, leading some to suggest a potential re-opening of the exchange may be on the cards.
“Fencing off bitcoin exchanges can’t effectively end bitcoin trade, and fears of a bitcoin bubble could leave China behind in the digital currency revolution,” the editorial says.
We are not aware of anyone in China being sent to prison for facilitating crypto trading or for engaging in an ICO. That doesn’t necessarily mean there hasn’t been any, but the approach there apparently is to take transgressors for a few days of “questioning.”
Some suggest as long as you don’t market to bus drivers or other “ordinary” people, and you limit yourself to the well-off, you’re left alone.
While plenty in China are being very creative in effect undermining the law, with China finding itself in a difficult spot as on the one hand it wants to take advantage of the new technology, while on the other hand it wants its implementation to have “Chinese characteristics,” which translates to nationalistic and protectionist measures.
Their problem is the lack of talent. This space honored China in 2016 when many very talented bright men and women descended on Shanghai for Devcon.
Plenty of networks had been created, with China a very important part of the world for this space, yet they turned around and in effect betrayed the good work of many.
We have called for a boycott as we find it insulting to the entire humanity how without discussion they’ve closed us off of what we very much helped build, turning Shenzhen into the IoT capital and Shanghai into flashing towers.
They may therefore need to learn that you can’t just take and not give, but the door is always open, even while they keep theirs closed.