• NOW

News

  • NOW

Chinese Internet Regulators Block Cryptocurrency Exchanges on Social Media

Despite all its previous efforts to prevent the people it rules from engaging in the online trading of cryptocurrencies, the Chinese government is taking further action to deter the practice. According to reports, local internet users can still access the Chinese social media accounts of former-mainland exchanges abroad and regulators have now acted to prevent this.

Also Read: Bitcoin and Cryptocurrencies Are Commodities, Federal Court Rules

Censoring Crypto Exchanges on Wechat

Chinese Internet Regulators Block Cryptocurrency Exchanges on Social MediaChinese internet financial regulators have blocked access to the social media accounts on the Wechat network of some overseas bitcoin exchanges, Beijing-based media group Caixin has reported on Tuesday. Wechat has over 1 billion monthly active users and serves as a master platform that runs about 600,000 different mini-programs. Its dominance of the internet ecosystem in China is so great that if a company is off the social network it might as well be off the grid completely.

Many former Chinese trading platform operators have left the country’s mainland and set up shop in the self-regulated territory of Hong Kong or even farther afield where they are free to offer services with Chinese language support and accept deposits from mainlanders if they can get to them. By pushing the industry offshore, regulators have thus lost the control of exchanges they might have had otherwise and forced to try and block them if they find something they disapprove of like promoting ICOs.

Great Firewall of China Not Strong Enough?

Chinese Internet Regulators Block Cryptocurrency Exchanges on Social MediaAs 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.

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.”

Is this the last step the Chinese government can take against bitcoin or are we likely to hear of many more such moves? Share your thoughts in the comments section below!


Images courtesy of Shutterstock.


Do you like to research and read about Bitcoin technology? Check out Bitcoin.com’s Wiki page for an in-depth look at Bitcoin’s innovative technology and interesting history.

Tags in this story
Censorship, China, chinese, Chinese Bitcoin Exchanges, chinese regulators, cryptocurrency exchanges, Internet, Okex, Social Media, WeChat
Related
Indian Supreme Court Set to Hear Crypto Case on March 29

The four-week window that the Indian supreme court has given the government to come up with crypto regulation is coming… read more.

Tel Aviv Court Rules Bank Can’t Close Crypto Miner’s Account

A court in Israel has once again ruled against a local bank which tried to close the account of a… read more.

Avi Mizrahi

Avi Mizrahi is an economist and entrepreneur who has been covering Bitcoin as a journalist since 2013. He has spoken about the promise of cryptocurrency and blockchain technology at numerous financial conferences around the world, from London to Hong-Kong.