China repeatedly triggered panic waves in the crypto market with Bitcoin bans. The following list of China bans shows that even one of the largest countries in the world cannot kill Bitcoin.
On September 24, announcement that China had launched an all-encompassing ban on crypto transactions left investors in a panic – briefly. Because the prices of Bitcoin and Co. stabilized again relatively quickly. Many crypto-skeptics dig up the argument at every opportunity that governments could simply ban Bitcoin and Co. The end of Bitcoin would be sealed. Since 2013, however, China has been showing, by way of example, why it is not so easy to put an end to BTC.
The Kraken crypto exchange shared a table on Twitter in which you can see how often China has already issued bans on Bitcoin and Co. And how these ban announcements have affected the BTC rate. The exchange divided the impact into four categories:
- On a 24-hour basis – an average of minus two percent;
- after a seven-day view – on average minus eight percent;
- on a 30-day view – an average of five percent in the red;
- on a 90 day view – an average of 53 percent up.
2013
Bitcoin started 2013 at a price of around 13 US dollars. And China has had digital gold on its regulatory radar since 2013. The Middle Kingdom announced on December 5, 2013 that banks would be banned from processing Bitcoin-related services in future. The Land of Dawn also referred to Bitcoin from then on as an illegal means of payment. At the time of this news, BTC price was in a rapid price rally. For the first time in the history of the digital currency, the rate reached $ 1,000. The news from China that Bitcoin would be an illegal means of payment in the future marked around the time when the crypto market began to move downwards. Over a 90-day perspective, digital gold lost a total of 35 percent of its value.
2014
In 2014 there were three announcements from China regarding Bitcoin. On March 21, 2014, news circulated that the People’s Bank of China (PBOC) would stop all Bitcoin transactions. The message ultimately turned out to be a hoax. And the Bitcoin course was not affected by this news either. On April 3rd, one of China’s largest Bitcoin exchanges, BTC38, halted all deposits after the PBOC continued its efforts to ban crypto. The market was largely unaffected by this news. The Bitcoin course remained motionless that day. Over a 90-day perspective, the BTC rate even increased 45 percent. Towards the end of April, the trading platform “BTC China” suspended all yuan deposits with the China Merchant Bank. It did so after the PBOC put pressure on the company. In 2013, BTC China was one of the most important trading venues for BTC.
2017
The year 2017 is likely to be remembered by many crypto investors, among other things because of the wild ICO hype. China banned all ICOs on September 4, 2017. Furthermore, financial institutions were no longer allowed to offer crypto-related services. In the same month, Chinese media announced that the government was planning to shut down Bitcoin exchanges. The BTC price tumbled a little during this time, and there was no drastic price drop. In the following months, however, the Bitcoin price rallies again. Over a 90-day perspective, the BTC rate rose by over 160 percent.
Bitcoin in 2018
The cryptocurrency market continued to be in a bull market in early 2018, but was unable to sustain the momentum it had built. On January 4, China then announced that Bitcoin miners would no longer be given preferential treatment. The BTC rate lost 55 percent of its value in the following 90 days.
2019
After the Bitcoin price collapsed in 2018, there was a noticeable upward trend in 2019 for digital gold. On April 8, 2019, Beijing announced that China would ban Bitcoin mining. The crypto investors were unimpressed. And in the coming months, the Bitcoin price rose noticeably – up to 100 percent.
Bitcoin in 2021
China’s crypto-averse stance did not change in 2021 either. On the contrary: On May 18, China renewed the stance it had adopted in 2013 and 2017 – financial institutions were still not allowed to offer crypto-related services to their customers. Three days later, China made the plan public to crack down on Bitcoin mining and trading. The land of dawn triggered the great Bitcoin mining exodus. On May 25, Inner Mongolia, an autonomous region of China, announced measures against BTC mining.
On June 9th, 2021, the technology companies Baidu, Zhihu and Weibo announced that they would in future censor keywords with a connection to crypto exchanges. Furthermore, BTC miners in the million regions Xinjiang and Qinghai were obliged to cease their business activities. China stuck to the tough crypto course and ordered state energy infrastructure companies on June 18 to turn off electricity to 26 mining companies.
The most recent crypto message from China went public on September 24th. On that day, China’s central bank made public that from now on all crypto transactions are illegal. The Bitcoin course partially crashed $ 4,000. How the course will develop in the next 90 days remains open. The crypto exchange Kraken was able to derive an average price gain of 53 percent for the next three months from the data. If this forecast is correct, the BTC rate could be $ 66,637 on December 26, 2021.