China wants to use blockchain audits for big data

China wants to use blockchain audits for big data

Cryptocurrencies are clearly not welcome, but blockchain technology may be fair game.

Despite basically choking the life out of cryptocurrencies in the country, China may be looking to use blockchain technology to “improve the data storage, management, transmission and other work modes in future big data audits.” At least, this was the suggestion released by the office of the National Audit of the People’s Republic of China.

In the release, the office outlines a “more optimistic” view and exploration of possible uses of blockchain technology in the country, particularly in processes that involve the audit office. A rough translation of the document points to perceived problems in the future when the amount of data the office handles increases.

“At present, audit data is managed using a centralized storage method, which is first collected by the accredited agencies to audit objects, then uploaded to the Audit Office Data Center (hereinafter referred to as the data center), and then centrally managed by the data center. The accredited agencies do not store relevant data. Although this management model has a high level of data security and legitimacy, it will also result in unlimited expansion of data center hardware and software equipment requirements. It will never be able to meet the endless cycle of data storage and management, resulting in more data center workload.”

The office also states that developments using blockchain technology would be in accordance with General Secretary Xi Jinping’s goals of strengthening the country in terms of science and technology and big data management. They add that it will help them keep up and streamline their processes to meet the development goals laid out at the 19th National Congress.

“There is still a distance between General Secretary Xi Jinping and the requirements of the Audit Committee Party Group, which requires us to Improve the system at work, earnestly implement it, and achieve results. The “blockchain” concept and technology will open a skylight for us to resolve this problem.”

The office wants to tap on blockchain technology’s capabilities to help monitor activities and automate records.

“The “blockchain” technology’s encryption algorithm, timestamp, and data self-management [will] enable the data center to track and record every auditor’s data events and other activities that require data collection, identity management, and the creation of auditor data operations.”

While blockchain technology may be getting a warmer welcome from the Chinese government, cryptocurrencies remain generally unwelcome in the country (except maybe for the one the government is developing themselves). It looks like this may not be changing for a while based on active enforcement by officials. Earlier this week, authorities seized 600 computers which they believed were being used for mining activities due to unusually high electric usage. Earlier this month, police even crashed and stopped a blockchain conference altogether. Yet cryptocurrency enthusiasts in the country are relentless, resorting to underground activities to continue their participation in the crypto economy.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.
600 computers seized in China's crypto mining crackdown

600 computers seized in China’s crypto mining crackdown

China’s disdain for all things crypto continues to grow. In the latest example, authorities seized 600 computers and related hardware in Tianjin earlier this week, due to abnormally high electricity usage in the city, Xinhua reported. It turns out that the hardware had been used to set up a large cryptocurrency mining operation, which was uncovered by the local utility company. That company then informed the police, who launched an investigation.

During the investigation, five individuals were identified as “persons of interest,” but no other details were made available. An additional person was detained for his involvement.  Whether any will be charged with criminal activity has not yet been announced.

According to the Chinese news outlet, this was the largest case of power theft recorded in a long time. However, there was doubt over whether the actions constituted theft, since it appeared the electricity was being purchased legally. The operations run afoul of Chinese laws, though, since authorities were not notified beforehand of the mining activities.

The move will certainly have Chinese miners looking for options outside of the country. China has been the home to the majority of the world’s cryptocurrency mining, but this could change soon. The Chinese government has taken a hard stance against cryptocurrency-related operations, already resulting in some companies shutting down completely and others leaving for other locations.

The recent crackdown indicates a reversal of policy. Many thought China would be loosening up on cryptocurrencies, but it would now seem to not be the case. The country’s central bank will also become stricter, tightening the screws on miners’ power usage in the country.

The result of the actions is an increase in mining operations in other countries. Iceland and Canada have gained favor recently due to the low electricity costs. This shift will more than likely continue, ultimately pushing all cryptocurrency businesses out of the country completely.

Last year, China banned trading between cryptocurrencies and the Chinese Yuan. The over-the-counter (OTC) trading had been gaining in popularity before being squashed by the People’s Bank of China. The country has also been targeting other trading platforms, and it would seem that crypto isn’t feeling the love anymore in China.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.
Tech firm Xunlei comes under fire over ‘disguised’ ICO

Tech firm Xunlei comes under fire over ‘disguised’ ICO

Beleaguered technology company Xunlei has become the subject of several class action lawsuits from investors who have bought the company’s digital token, LinkToken.

As with all too many initial coin offerings (ICOs), Xunlei is accused of misleading its investors who have chosen to invest in the company’s much trumpeted digital coin. However, the NASDAQ-listed firm is fighting with some vigour.

At the Boao Forum for Asia last week, Xunlei CEO Chen Lei refuted the allegations that the company intentionally misled investors so that it could carry out an ICO in China. Xunlei offers a device called OneThing Cloud, which allows users to share their idle internet bandwidth and storage in exchange for LinkToken, according to a South China Morning Post report. However, Lei insisted that the company did not intend to issue any funds through the token and it was not a public offering.

“By making a public offering, really you need to use it to raise money. We have never used a coin to raise any money at all, that’s never our intention,” Lei said, according to the news outlet.
Xunlei launched LinkToken in October 2017 along with several other initiatives, in hopes of entering the blockchain market. Interestingly, the company’s stock price boomed substantially after the launch with real bullish action but it has now more than halved from a record high of $25 in November, when it soared by no less than 500%.

However since that bright period, the shares of Xunlei have sunk to a low of $10 in early April, with several U.S.-based investors seeking class action against the company for allegedly misleading them regarding the company’s activities between October 2017 and January 2018. The investigators claimed Xunlei required them to purchase hardware from the company to share internet bandwidth.

In response, Lei hinted that he would be hiring legal assistance to fight the claims, noting that he fully supports any regulatory action against ICOs.

“We are a small capital company, so our stock price does fluctuate, but I don’t think there’s any basis for the lawsuit because we’re operating in China and it is the Chinese law and regulations that we need to observe,” he said, adding that “the definition of [an] ICO has to be interpreted in the Chinese market.”

In January, China’s National Internet Finance Association (NIFA) concluded its investigation into LinkToken with a finding that Xunlei had attempted to evade regulations by conducting an “initial miner offering.”

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.
Arrests made in $13M Chinese crypto pyramid scam

Arrests made in $13M Chinese crypto pyramid scam

Authorities in China have arrested four people in the city of Xi’an in connection with a suspected cryptocurrency pyramid scam, according to local media reports.

The arrests were made over allegations that the scheme had conned some 13,000 individuals, with a total of over 86 million yen ($13 million) reported to have been collected. Police arrested a primary suspect, along with three others suspected of assisting in the scheme.

The suspect, known only at this stage as Zheng, is said to have begun planning the scam back in October 2017. Police suspect the scam revolved around the Da Tang Coin (DTC), an altcoin linked to a company called DTC Holding.

Investigators said the scheme involved offering investors a guaranteed return of approximately $13,000 per day, in return for an investment of $480,000 in DTC—which were offered at $0.50 per coin.

The scam allegedly attracted significant volumes of investment in the space of just two weeks, from March 15-28, with the company reaching out to investors in locations including Xi’an, Ningbo and Phnom Penh.

It is also alleged that the firm secured the services of a ‘foreign-looking’ man in order to create the appearance of an international blockchain startup that is heavily backed by other investors.

Investors were promised a return on their money when DTC was ultimately listed on major cryptocurrency exchanges, and were told of a range of real-life applications for the token, including in retail and education.

While labelled a pyramid scheme by investigating officers, some analysts have highlighted that the plan more closely resembles a Ponzi scam. Either way, officers believe the men to have been involved in the latest cryptocurrency scam to target unsuspecting investors.

In 2017 alone, China reported some 47,000 victims of cryptocurrency scams, like the alleged scam in the present case. Around 40 arrests have been made to date, leading to the Ministry of Public Security promising to ‘purify cyberspace’ to protect victims.

The pledge comes in light of a wider crackdown in China, with authorities keen to prevent scams of this kind from taking hold. The arrests this week will do little to dampen the appetite of regulators in keeping a tight grip on cryptocurrency activities in China.

Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.
Police suspend blockchain conference in China

Police suspend blockchain conference in China

A blockchain conference being held in China has been disrupted and suspended by police, according to reports.

The Global Fintech and Blockchain China Summit 2018 was interrupted by police in Shanghai, bringing an immediate halt to proceedings and ejecting all delegates from the event. The event, which was scheduled to last the full day, has been organised by conference firm PTP International.

After police intervened during the morning session, the afternoon was cancelled, with all attendees told to leave the premises. The event was scheduled to include presentations from keynote speakers, demonstrations from financial firms and banks, and panel discussions on blockchain issues.

There are few details at present as to the reason for the police disrupting the event, save for some suggestions on Chinese social media site Weibo, which suggests aggrieved ICO investors may have directly reported the event.

While still unconfirmed, the speculation was that investors in a fraudulent ICO contacted the police after seeing representatives from the ICO were scheduled to attend. However, it’s important to stress no official reasons have yet been given.

PTP International denied the suggestions, issuing a statement promising to establish why the event was disrupted in this way:

“We are still investigating the reasons of the halt, and so far the explanation offered by the police is due to security risk. We are working on a solution regarding how to make up for event attendees. The conference is in compliance with the regulation in China and does not feature any ICO roadshow.”

According to media reports, an update on the firm’s progress is scheduled to be announced by noon Friday, local time in Shanghai.

The news reflects the ongoing hardline attitude adopted by Chinese regulators, in clamping down on cryptocurrency activities, and in particular, ICOs.

Following a spate of failed and fraudulent initial coin offerings in China, authorities outlawed the practice altogether in September 2017, and have rigorously enforced the policy since. While events in Shanghai are still developing, the news will be cause for concern for others involved in the blockchain and cryptocurrency scene in China.

Note: Tokens in the SegWit chain are referred to as SegWit-Coin BTC (inaccurately called Bitcoin Legacy or Core by many) and SegWit Gold (SWG) and are no longer Bitcoin. Bitcoin Cash (BCH) is the only true Bitcoin as intended by the original Satoshi white paper.  Bitcoin BCH is the only public block chain that offers safe and cheap microtransactions.
Alibaba-owned Taobao outlaws ICOs

Alibaba-owned Taobao outlaws ICOs, cryptocurrency

Online shopping platform Taobao has prohibited stores from promoting initial coin offerings (ICOs), cryptocurrencies, and other related goods and services, as part of an update rolled out earlier this week.

The platform, which is owned by eCommerce giant Alibaba, updated its list of banned goods and services to include cryptocurrency-related services and products, such as support services for ICOs.

The ban extends as far as services offering to help with marketing ICOs and even drafting business proposals, as the site looks to claim down on ICO and crypto-related stores within its marketplace.

Coming into effect from April 17, the updated rules effectively outlaw any product or service based on or derived from blockchain technology from being sold through their site—a significant expansion in Taobao’s on-platform regulation around cryptocurrencies.

Previous measures that were introduced to limit the sale of cryptocurrencies, mining hardware and tutorials will continue to have effect alongside the new measures when they come into force next week.

The move follows the decision of regulators in China to restrict ICOs in 2017, and Taobao has said it will punish store holders in breach of the provisions when they begin to take effect.

Despite the national ICO ban, first announced by the Chinese government in September, a number of services have remained on the Taobao platform, including some which have been identified as helping draft fake ICO documentation.

At press time, there were still a number of services offering help with drafting ICO white papers, as well as several other support services for ICOs and cryptocurrency products, suggesting a number of individual sellers have yet to yield to the change in policy.

The decision brings Taobao in line with a number of other online platforms that have limited available outlets for those participating in unregulated ICOs and support functions. It follows similar steps by Google, Twitter and Facebook in limiting ICO services from using their platforms.

Initial coin offerings exploded in popularity over 2017, with a variety of different projects put forward for new tokens and cryptocurrencies.

However, following crackdowns from regulators international, including the U.S. Securities and Exchange Commission, and more robustly, regulators in China, the net is now closing in on those intent on using ICOs illegitimately or fraudulently.

Note: Tokens in the SegWit chain are referred to as SegWit-Coin BTC (inaccurately called Bitcoin Legacy or Core by many) and SegWit Gold (SWG) and are no longer Bitcoin. Bitcoin Cash (BCH) is the only true Bitcoin as intended by the original Satoshi white paper.  Bitcoin BCH is the only public block chain that offers safe and cheap microtransactions.
Underground cryptocurrency trade thrives in China

Underground cryptocurrency trade thrives in China

Cryptocurrency investors in China have resorted to underground activities after the Beijing government banned Bitcoin trade in the country last year. But when it outlawed cryptocurrency-related activities like initial coin offerings (ICOs), the government unknowingly opened doors for underground businesses to thrive. According to a Reuters report, underground traders of SegWit-Coin BTC had quite a booming business—making between 30%-40% returns—when the price of coin, which was inaccurately referred to as Bitcoin Legacy or Core by many, hovered close to $20,000.

The lucrative business, however, was short-lived after “mules” joined the trade and overcrowded the market. This resulted in the profits falling to a low of 7% or less in the last couple of months, according to the report. In addition to the mules, cryptocurrency funds and individual computer-assisted traders have also flooded the market making it even harder to enjoy the previous premiums.

The mules operate by physically carrying cash across borders in pursuit of SegWit-Coin BTC and other cryptocurrencies. These businesses had the mules working hard to get virtual currencies for their clients in China, with some even illegally entering another country for the sole purpose of buying cryptocurrencies.

Initially, the businesses would look for platforms with low SegWit-Coin BTC prices and sell them at a profit, according to the report. The ban resulted in entrepreneurs buying cryptocurrencies from countries like Thailand (unregulated market) and Japan (legalized market) and selling them in banned markets like South Korea, India, and China.

The underground cryptocurrency trade in China started with closed groups that used popular platforms like WeChat and face to face meetings at bars. They met the seller and bought their desired digital currency away from the authorities. This grew to other peer-to-peer platforms like CoinCola and retail platforms like Taobao for over-the-counter (OTC) cryptocurrency trade, while some traders operate through bank transfers.

Some believe the underground cryptocurrency trade will not last for long as hedge funds are quickly flooding the markets. Many people have moved to trading with these hedge funds as they offer faster transactions at a lower price compared to the retail traders. These hedge funds operate similarly to the retail traders by buying cryptocurrencies from smaller platforms and selling them to other larger platforms for profits.

Note: Tokens in the SegWit chain are referred to as SegWit-Coin BTC (inaccurately called Bitcoin Legacy or Core by many) and SegWit Gold (SWG) and are no longer Bitcoin. Bitcoin Cash (BCH) is the only true Bitcoin as intended by the original Satoshi white paper.  Bitcoin BCH is the only public block chain that offers safe and cheap microtransactions.

source: https://coingeek.com/underground-cryptocurrency-trade-thrives-china/

Cryptocurrency groups fight back against advertising bans

Cryptocurrency groups fight back against advertising bans

A number of cryptocurrency associations and companies from countries including South Korea, Russia and China have apparently decided to file a class action lawsuit against internet advertising companies and social platforms that have decided to ban cryptocurrency and ICO advertisements. This lawsuit, which seeks to challenge the restrictions put in place by Facebook, Google and Twitter, was a collaborative effort of the participants at a recent cryptocurrency conference in Moscow, news.bitcoin.com first reported.

According to sources, the newly formed Eurasian Blockchain Association will file the suit in U.S. courts by May. This newly-formed association is made up from representatives from the Russian Cryptocurrency and Blockchain Association (RACIB), the Korea Venture Business Association (KOVA) and the Chinese Association of Cryptocurrency Investors (LBTC). These associations signed the agreement during the BlockChainRF-2018 Congress in Moscow. The sources also confirmed that a special crypto fund will be created to raise funds for this class action lawsuit and which is also accepting donations.

The advertising bans put in place by Facebook and Google have hit the cryptocurrency markets extremely hard with drops in values of around 50-60% in some cases. Twitter has also started banning cryptocurrency and ICO-related advertisements on its platform, dealing another blow to the industry which continues to decline considerably in value. At press time, the total market cap of crypto currencies has fallen below the $300 billion mark, almost a third of the value of one media conglomerate, Google. Another social networking site, Snapchat, is reportedly also considering an ICO ban.

RACIB President Yuri Pripachkin told Russian news outlet TASS that cartel collusion was one of the main points of the lawsuit.

“We think these four companies are using their monopoly power and have colluded to manipulate the market,” Pripachkin said, according to the news outlet. There has still not been a decision which U.S. state the suit will be filed, but Pripachkin indicated that this will be a state that has a positive stance towards cryptocurrency development, such as Wyoming.

In a separate story, it appears that Russia is losing big money on ICOs that are being set up by Russian businessmen abroad in more favourable business jurisdictions. A report states that up to $1.5 billion is being withheld from the Russian state coffers. However, this might change as the State Duma is expected to discuss two laws regarding blockchain technology, mining, cryptocurrency and ICOs.

Note: Tokens in the SegWit chain are referred to as SegWit1X (BTC) and SegWit Gold (SWG) and are no longer Bitcoin. Bitcoin Cash (BCH) is the only true Bitcoin as intended by the original Satoshi white paper.  Bitcoin BCH is the only public block chain that offers safe and cheap microtransactions.

source: https://coingeek.com/cryptocurrency-groups-fight-back-advertising-bans/

Chinese phone manufacturers ride the blockchain wave

Chinese phone manufacturers ride the blockchain wave

The word “unicorn” conjures many images, but one them is probably not of a cellphone. However, that’s what a Chinese cellphone manufacturer, Sichuan Changhong Electric Co. Ltd., is calling the phone they released about 10 days ago. The phone is one of a small handful of cellphones that are purportedly based on blockchain technology, although there is still no clear description of what that truly means.

Chinese language news outlet The Paper quoted the company saying the Sichuan Changhong phone allows its user to mine legacy Bitcoin (BTC) and record information, like fingerprints and location, directly on the blockchain. An industry insider, however, said the phone doesn’t actually mine BTC as it claims. It mines the phone company’s digital currency, which can be exchanged for rewards. Other skeptics think that the use of the term blockchain is nothing more than an attempt to capitalize on the blockchain craze. Maybe “unicorn” wasn’t too far off, after all.

Lenovo is also jumping on the bandwagon with the launch of the Lenovo S5. The phone hit markets about seven days ago, and, according to Lenovo, offers a blockchain-based payment space called Z-space that is designed to provide for more secure transactions. It’s still too early to determine whether or not the phone is more secure than others.

Companies have a propensity to latch on to the word of the day. The Long Island Iced Tea did it last year, changing its name to Long Blockchain Corp. When it did, the company’s stock doubled.  Eastman Kodak also tried to capitalize on the fever this past January when it announced that it would be launching its own cryptocurrency. After making the announcement, the once-great camera company saw its stock increase by 60%.

Where does this leave the consumer? Homework, homework, homework. Check out the claims any company makes, whether it has been around for 100 years or 100 days. Don’t fall for the hype, either. With as fast as a company makes a claim today, it’s easy to find supporting or detracting information. Above all, wherever possible, use a little common sense.  If it sounds like a questionable deal, it more than likely is.

Note: Tokens in the SegWit chain are referred to as SegWit1X (BTC) and SegWit Gold (SWG) and are no longer Bitcoin. Bitcoin Cash (BCH) is the only true Bitcoin as intended by the original Satoshi white paper.  Bitcoin BCH is the only public block chain that offers safe and cheap microtransactions.

source: https://coingeek.com/chinese-phone-manufacturers-ride-blockchain-wave/

Freedom for crypto? China opens payments market to foreigners

Freedom for crypto? China opens payments market to foreigners

There appears to be a seismic shift with regards to foreign investment in China since the mainland government, via the People’s Bank of China (PBOC), has suddenly decided to open up the Chinese market to foreign investors. This will allow foreign companies to enter into direct competition with local Chinese firms—a significant development which sees a sea of change in the Chinese economy.

This development will also have excellent implications for the further boosting of the cryptocurrency markets. In fact, the new head of the Chinese Central Bank, Yi Gang, said Bitcoin provides freedom to anyone who uses it. Analysts have seen these comments as positive for the emerging cryptocurrency industry, although the onset of regulation could provide some limitations with which cryptocurrency is traded.

PBOC, which carries monetary policies and regulates financial institutions in China, likes to keep tight reins on the domestic cryptocurrency sector. Recently, the Chinese central bank implemented tighter regulations on overseas digital currency trading, and even extended its so-called “Great Firewall” to ban domestic and international websites that cater to Chinese residents.

In a Medium post, analyst Wei Chun Chew expected that the Chinese government would still want to control cryptocurrency activity in the country, although it has been showing a positive approach towards blockchain technology.

“In summary, the Chinese government has shown a positive attitude towards blockchain technology despite its enforcement on cryptocurrency and mining operations. China wants to control cryptocurrency, and China will get control. The repeated enforcements by the regulators were meant to protect its citizens from the financial risk of cryptocurrencies and limit capital outflow,” according to Chew.

Currently, homegrown Chinese companies operate a complete monopoly over the financial and internet service markets. According to reports, tech giant Alibaba holds no less than 70% market share making it a multi trillion dollar company, while Tencent Pay has control over the other 30% of the market.

But with overseas companies to now be allowed to operate in China, that dominance might change quite quickly. Large financial and internet service companies, such as Jack Dorsey’s Square and the South Korean-based KakaoPay, could also be allowed to operate and take a share of the Chinese financial scene, which has over a billion potential customers. These foreign firms need to register with the PBOC and obtain licenses to start operating.

Speaking to Bloomberg, Hong Kong-based economist Iris Pang said, “The domestic market is quite saturated with very strong domestic players, and it is relatively hard for foreign companies to get a piece of the pie. But there is a chance for them to compete in the cross-border payment market.”

Note: Tokens in the SegWit chain are referred to as SegWit1X (BTC) and SegWit Gold (SWG) and are no longer Bitcoin. Bitcoin Cash (BCH) is the only true Bitcoin as intended by the original Satoshi white paper.  Bitcoin BCH is the only public block chain that offers safe and cheap microtransactions.
Freedom for crypto? China opens payments market to foreigners

Freedom for crypto? China opens payments market to foreigners

There appears to be a seismic shift with regards to foreign investment in China since the mainland government, via the People’s Bank of China (PBOC), has suddenly decided to open up the Chinese market to foreign investors. This will allow foreign companies to enter into direct competition with local Chinese firms—a significant development which sees a sea of change in the Chinese economy.

This development will also have excellent implications for the further boosting of the cryptocurrency markets. In fact, the new head of the Chinese Central Bank, Yi Gang, said Bitcoin provides freedom to anyone who uses it. Analysts have seen these comments as positive for the emerging cryptocurrency industry, although the onset of regulation could provide some limitations with which cryptocurrency is traded.

PBOC, which carries monetary policies and regulates financial institutions in China, likes to keep tight reins on the domestic cryptocurrency sector. Recently, the Chinese central bank implemented tighter regulations on overseas digital currency trading, and even extended its so-called “Great Firewall” to ban domestic and international websites that cater to Chinese residents.

In a Medium post, analyst Wei Chun Chew expected that the Chinese government would still want to control cryptocurrency activity in the country, although it has been showing a positive approach towards blockchain technology.

“In summary, the Chinese government has shown a positive attitude towards blockchain technology despite its enforcement on cryptocurrency and mining operations. China wants to control cryptocurrency, and China will get control. The repeated enforcements by the regulators were meant to protect its citizens from the financial risk of cryptocurrencies and limit capital outflow,” according to Chew.

Currently, homegrown Chinese companies operate a complete monopoly over the financial and internet service markets. According to reports, tech giant Alibaba holds no less than 70% market share making it a multi trillion dollar company, while Tencent Pay has control over the other 30% of the market.

But with overseas companies to now be allowed to operate in China, that dominance might change quite quickly. Large financial and internet service companies, such as Jack Dorsey’s Square and the South Korean-based KakaoPay, could also be allowed to operate and take a share of the Chinese financial scene, which has over a billion potential customers. These foreign firms need to register with the PBOC and obtain licenses to start operating.

Speaking to Bloomberg, Hong Kong-based economist Iris Pang said, “The domestic market is quite saturated with very strong domestic players, and it is relatively hard for foreign companies to get a piece of the pie. But there is a chance for them to compete in the cross-border payment market.”

Note: Tokens in the SegWit chain are referred to as SegWit1X (BTC) and SegWit Gold (SWG) and are no longer Bitcoin. Bitcoin Cash (BCH) is the only true Bitcoin as intended by the original Satoshi white paper.  Bitcoin BCH is the only public block chain that offers safe and cheap microtransactions.

source: https://coingeek.com/freedom-crypto-china-opens-payments-market-foreigners/

China blocks foreign crypto exchanges’ social media accounts

China blocks foreign crypto exchanges’ social media accounts

The cryptocurrency sector in China continues to come under severe pressure as the strength of government regulation bears hard on investors and users in the world’s most populous country.

And yet, despite all its previous efforts to prevent the people it rules from engaging in the online trading of cryptocurrencies, the Chinese government is taking even further action to deter the practice. Now, it appears that the government is taking action so that those cryptocurrency enthusiasts will not be able to access the social media accounts of international cryptocurrency exchanges.

The internet and financial regulators in China have also blocked all access to the social media accounts of overseas bitcoin exchanges on the Wechat network, according to Beijing based media group Caixin. This is a pretty serious development since WeChat has well in excess of 1 billion active monthly users whilst it also serves as a master platform which runs around 600,000 mini programmes—a staggering amount. Former China-based trading platforms have already moved to Hong Kong or other territories where they can offer their services to those who are based in mainland China.

As reported back in February, Chinese authorities have already decided to block internet access to the websites of overseas cryptocurrency exchanges and platforms promoting ICOs. However, local users are reportedly still able to access such international trading venues as Huobi, OKEx and Binance even without the use of a VPN to bypass the Great Firewall of China, supposedly triggering the recent social media crackdown. It is not known if these websites will still be accessible but it is probably only a matter of time before these are also blocked.

A person close to the Chinese internet financial regulation agency reportedly told Caixin this week that, “The moment financial fraud is reported, the person in charge should be immediately arrested, no matter if it is domestic or foreign, all should be regulated. We are urging all relevant departments to further block the IP addresses of overseas cryptocurrency exchange platforms.”

Note: Tokens in the SegWit chain are referred to as SegWit1X (BTC) and SegWit Gold (SWG) and are no longer Bitcoin. Bitcoin Cash (BCH) is the only true  Bitcoin as intended by the original Satoshi white paper.  Bitcoin BCH is the only public block chain that offers safe and cheap microtransactions.