BTC China announced Thursday that it is planning to cease trading by the end of the month.
Two of the country’s most prominent bitcoin exchanges, BTC China and Via BTC, said they will halt trading this month. BTC China has also stopped registering new users, it said in a statement posted on social media.
Both exchanges said the decision to cease trading was triggered by an announcement by Chinese authorities last week banning initial coin offerings (ICOs), in which companies issue „digital“ tokens similar to shares in exchange for bitcoin or other cryptocurrencies.
There have also been reports that China is preparing a wider crackdown on bitcoin trading amid concerns that it is being used for money laundering.
The increased scrutiny has caused the value of bitcoin to crash. It was down 7% on Friday and has fallen more than 20% in a week after rising above $4,000 in August.
1/ After carefully considering the announcement published by Chinese regulators on 09/04, BTCChina Exchange will stop all trading on 09/30.
All Chinese bitcoin exchanges have been told to announce by midnight Friday when they will shut down, according to prominent Chinese business publication Caixin.
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Bitcoin’s perceived anonymity has been an important part of its growing appeal but also exposes the currency to claims that it is linked to the drug trade and other illegal activities.
