While the whole world is witnessing an enormous shift towards the crypto market, China seems to be on a completely different tangent in this scenario. Based on the recent trend of regulation, it can be clearly observed that China has literally tried a very methodical approach to breakdown the decentralized currency industry.
How is China actually deterring its citizen?
• The initial step taken by China to vilify the crypto market was via engaging in semantic warfare by defining Bitcoin as a “virtual commodity” which somehow or the other symbolizes that its not within the boundaries of legal tender which makes it a bit more unreliable. Moreover, this develops a sense of insecurity within the citizen, thus deterring them from using cryptocurrencies.
• It actually came out of surprise that the PBoC started gathering the conscious public disapproval on cryptocurrencies being categorized as a commodity. Well, China planned something quite similar with its own methodology. It recruited a team whose prime objective is not just studying the virtual currency market but also issue a state-backed cryptocurrencies market to rival Bitcoin.
• Moreover, March 2018 saw prohibition on all those physical gatherings which focused on Crypto activities.
Unfortunately, China’s hard as well as complicated rules regarding cryptocurrencies have literally affected the Bitcoin’s price. The price has literally hit to its lowest of the year. In fact, it has reached to a point which is still quite impossible for it to climb above.