Chinese Banks To Shut Down Accounts Of Bitcoin Exchanges
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
Prices for bitcoins fell sharply on Thursday after China’s Central Bank ordered domestic financial institutions to close down the accounts of all local bitcoin exchanges by April 15.
On Wednesday afternoon, the price for bitcoins was roughly around $450, before falling to $400 early Thursday morning. At present, the price of one bitcoin has fallen to $374.24, according to WorldCoinIndex.
Nearly all Chinese bitcoin exchanges have received official deposit shutdown notices from their banks.
Prices for bitcoins fell sharply on Thursday after China’s Central Bank ordered domestic financial institutions to close down the accounts of all local bitcoin exchanges by April 15.
On Wednesday afternoon, the price for bitcoins was roughly around $450, before falling to $400 early Thursday morning. At present, the price of one bitcoin has fallen to $374.24, according to WorldCoinIndex.
Nearly all Chinese bitcoin exchanges have received official deposit shutdown notices from their banks.
BtcTrade said on its website yesterday that an Agricultural Bank of China Ltd. (601288) sub-branch in Hangzhou will close its account by April 15 if it continues to use it for Bitcoin-related settlement services.
Another popular bitcoin exchange Btc100.org said it had received a notice from an unidentified lender to cancel its account.
In December last year, the Chinese central bank had already banned financial institutions and payment companies from buying and selling Bitcoin.
“Chinese businesses began receiving official deposit shutdown notices from banks, confirming recent suspicions of an impending crackdown,” Jon Southurst wrote at CoinDesk, an online bitcoin news site.
Related: China Bans Bitcoins At Banks
Related: Bitcoin Crash: The End Of A Gold Rush?
Related: Japan To Impose Bitcoin Regulation After Mt Gox Collapse
In a show of defiance against the tightening regulations of China’s central bank, BTCTrade claimed that the announcement would fail to inflict too much damage on the exchange.
“We want to say: The passing madness continues into the distance but we firmly believe that the future is bright for BTCTrade and for the future of bitcoin,” it said in a statement.
