When China bans Bitcoin/cryptocurrency, it will simply pop up somewhere else.
We are already seeing this with the Japanese, US, and South Korean Exchanges. All three are exploding in volume in the last week or so.
Check out this chart from CryptoCompare:
Look who is up there at the top.
As you can see Japan now accounts for over half of all Bitcoin trading volume, and guess what, Bitcoin is officially legal tender over there!
China is now muddling around the 6% mark.
Hong Kong is another place that is set to be a major beneficiary of the Chinese cryptocurrency trading ban.
Reports are already coming out of plans to build more exchanges and more crypto-related infrastructure in the region with the anticipation of many new users coming from China.
In regards to Chinese regulation, first it was ICOs, then it was exchanges, now they are saying peer-to-peer exchanges will also be prohibited.
Though I am not sure how they would enforce that one, basically anyone with an internet connection and a messaging or chat account could theoretically send Bitcoin in exchange for some good or service.
That one seems pretty hard to police, though I imagine they will impose strict penalties for violators. After all, we are talking about China, the country with more suspected death penalties carried out in recent years than every other country, combined.
However, taking all this into account one thing keeps popping up in my mind...
China banning cryptocurrencies is akin to what happened with Prohibition in the United States.
What happened with Prohibition, did it make people stop consuming alcohol?
Not really.
Alcohol was officially banned from 1920 to 1933, but it did not go away, it simply moved other places and also underground. Eventually leading way to organized crime.
I look at cryptocurrency the same way.
The genie is already out of the bottle here and it can't be put back in, governments have little choice but to try and work with the technology for everyone's benefit.
Any attempts at eliminating it will likely be ineffective and only further developers and users to constantly find ways around the regulations.
It makes much more sense to embrace it than to try to put your finger in the hole of leaky dam in order to prevent the oncoming flood.
After all, this is: "the people's currency".
The people have spoken!
Image Sources:
https://twitter.com/BKBrianKelly?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Eauthor
http://www.beerhistory.com/library/holdings/prohibition_1.shtml
http://www.sampsoniaway.org/sw-daily/2014/03/21/heroes/
Follow me: @jrcornel
Hi ,
Nice work sir
Charlie Lee just said that a trusted source told him the China mining ban is fake.
Source:
Still, the question is: Can you trust his trusted sources ?
FYI, I haven't made any trades on this info.
Disclaimer: I am just a bot trying to be helpful.
It's hard to say. Regardless, there will also be Chinese rebels mining Monero I'm sure haha
Yea I do not think this or anything similar in it's nature will stop btc and the industry. I just did a post on the Biggest Misconception of Bitcoin & Cryptocurrency Bubble.
Great post!
Very right! No one can stop cryptos and popularity will keep on rising...
especially if decentralised exchanges are going to popup. If you looking for a decentralised exchange for ethereum tokens, have a look at oasisdex.com . Feedback is recommended and very welcome.
You are right.
They can block peer-to-peer exchanges like localbitcoins.com. If they do that, arranging a trade becomes so difficult.
The comparison to prohibition is brilliant, I hadn't thought about it that way before. If people were willing to rebel and turn to organized crime in such an extreme way for BEER, imagine what they'll do for their money!
The counterpoint being, that death penalty is a potentially huge deterrent. But, when people are desperate to earn a living, even that is unlikely to keep them away...
It seems to me that the real question is how long it takes, if ever, before China realizes its mistake - as all the economic activity surrounding cryptocurrency moves to Japan, Hong Kong, and elsewhere. Will they give up on this crackdown in a few years, or stay in the technological past?
I would not be surprised to see them reverse course on this within the next few years, probably after they have figured out how to effectively regulate the markets the way they would like. Either that or it will be when they have their own nationalized blockchain and currency that they can "control".
Yes, China is a communist dictatorship so they don't believe in free markets. The free countries will take up the slack until political change occurs. Who knows, maybe the banning of crypto will eventually promote a regime change that will benefit Chinese citizens. As you said it's, "the people's currency."
that Malaysia is number 16.. thanks for info
Yeah who wouldve known that lolz. What a suprise. Malaysian are silently progressing towards crypto thanks to our money laundering prime minister :) Crypto revolution in Malaysia is marching!
Don't worry, I'm sure China is busy cooking up some brilliant new ideas...
LOL! I love it!
Nobody can stop crypto, no bankers, no china, nothing, we getting strong each day, this is just tests. "What doesnt kill you make you stronger"
Thanks for the post
These guys still dont understand how the block chain works.
I get the feeling that you are probably correct. Ultimately, cryptocurrency can't be banned - unless governments shut down the whole internet, of course. Let's hope it never comes to that.
No one can stop cryptocurrencys! It's the future and it seems some country's are sacred of the future. Long Live Cryto's! Keep up the great work and best wishes from @kenentertainment!
great work thanks sir
I think that china cant stop any cryptocurrencie they are descentralized. What happen is that the big investor take advantge from these and some cases manipulate the price. Good post my friend.
Chaina making abuse drama! !
But it will not work.
😈😈
China get no money if will ban cryptos. I think exchanges pays good tax for trdaing . And China got nothing.
i hear china is going to stop the crypto and it must affect the crypto market badly i hope they don't stop thanks you are sharing great information
very useful postings and thank you for sharing @jrcornel
I think you are correct. China probably can't stop the cryptocurrency revolution and I think the will eventually stop the ban.
It can’t be stopped.
I have little time investing in the criptomonedas and I am sure that every time it is growing, there are many envious behind all this, but keep the confidence and security that the criptomonedas is the best way to save and multiply our income. excuse my English I use the translator, I'm Venezuelan. regards
Yea bro..bitcoin don't stop at owe the state because it's future coin✌👍
Good man on this post👌👍
I find # 2 even more interesting...lots of USD in BTC!! I ask BTC or crpto is accepted EVERYWHERE I spend my USD here in California and I have not received a yes anywhere yet. Actually about 75% of vendors ask. "What's that?" Hopefully, my brief answer is urging some to look up BTC/cryptos :D
Watch India! There will be coins, and more then enough! Upcoming market with a lot potential and knowledge.
Interesting read, once the scare goes away people will see the truth.
China is trying to do what no one else has been able to do - to stop the sunset manually :)
Whenever there is a gap, someone will fill it. Blochchain is going to stay. decentralized money is the future of money.
Thanks @jrcornel for the great article. It is very helpful.
Steem on.
Its like a balloon. You squeeze one place, and it just pops out another place. You cant ban or stop crypto currencies, China. I believe there will be another great buying opportunity of all crypto currencies very soon. Probably even right now. Personally I'm waiting a little bit to pull the trigger. I won't pull before I see a strong bullish trend. Great post!
Real informative. Great write up.
Excellent post. Very inspiring and encouraging.
This is, in my opinion, the freedom that the original founding fathers had for America and a great avenue for us to peacefully take our freedom back
Yep, China went from being the majority of bitcoin volume just a couple years ago to now average about 10%. There influence is no longer overwhelming. I touched on this in a post few days ago.
But China never said that they will ban cryprocurrencies or did they? I think only ICOs and exchange related stuff but not bitcoin;
I agree... it takes time for people to come around to new technology or ways of thinking... every day is progress tho!
"Can I have a Longislandcrypto please?"
Akin to pot in the United States?
You are correct. It is absurd to think that the nation-state really matters when it comes to a digital asset like cryptocurrency. Technology knows no geographic boundaries. Instead of eliminating it, it simply moves elsewhere. What is ironic is the technology they are trying to control is designed to be uncontrolled and is not tied to any nation. This is the power of it.
Ban away...even if they go after all the exchanges around the world, a decentralized one(s) will appear overnight.
Sorry but this is even more absurd than prohibition was. At least the US had a chance to control the booze...no country have a prayer of controlling cryptocurrencies.
@jrcornel another great blog! agreed, one of the reasons cryptocurrencies were invented was because of governments/banks mismanaging currencies!
hope you're well!
Alex
It's future is bright It can't be stopped .Thanks for sharing such great post with us.
this is true positive realisation thanks great post!
So China really banned it.. I read that thinking is was a thinking. Well great reaction, hope that bitcoin will follow this way, to keep an alternative money way. Thanks for this informative post and good continuation
Agree with you, no one can stop cryptocurrency, resteen
Nice Post.. :)
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Deal is a Deal.
Just as with any other prohibition, it just gives a reason for people not interested in the matter to start getting involved as they will understand there is value behind something being prohibited. Price will raise.
This is where we will see the beauty of a decentralized system. No single autorithy can end with it.
And this is its main strength
Actually we do need China on these. The take over by Japanese mostlg because influx of Chinese to Japanese exchanges. Chinese market is still crucial for crypto growth. We need their massive size of population.
Even if the encryption currency is prohibited in China, I think that it will be traded on overseas exchange
Good post!!! It's incredible how china and us are trying to ban cryptos while some countries like Estonia and Australia are supporting blockchain technologies.
China is a clever nation. I think that after regulation and the deliver of license to regular ICO, the Chinese people will contribute to any further increase of the global cryptocurrencies market!
Ha ha cool...and a big F-U to China from Hong Kong! :)