Bitcoin’s value tumbles in half after China forces top exchange to stop trading
2013-12-18 0:00

By Alex Hern | The Guardian



The price of bitcoin has plummeted following an announcement from China’s largest bitcoin exchange that it would no longer be accepting new yuan deposits.

BTC China said that due to action by a third-party payment provider, YeePay, it could no longer accept deposits in the Chinese currency, although it would still be able to process withdrawals. BTC’s chief executive, Bobby Lee, said that YeePay gave notice on Wednesday morning Shanghai time that it would no longer provide services.

Lee blamed government regulation for the decision. China’s central bank warned in early December that bitcoin was not legally protected and had no "real meaning", and barred financial institutions from using the currency.

On Tuesday, the central bank extended that ban to payment companies like YeePay, and gave them until Chinese New Year, which begins on 31 January, to comply.

At publication time, the value of one bitcoin on BTC China stands at Ą2,630 (Ł266.02), down from a high of Ą7,395 (Ł741.70) in late November. Bitcoin has dropped against other currencies in the same period, falling from Ł750 to Ł300 in the UK and from $1242 to $480 in the US.

On 18 November, BTC China raised $5m in a funding round from institutional investors Lightspeed. Until then, it had been self-funded by its three co-founders, who opened the site in June 2011.

Bitcoin remains legal to use in China, and the central bank is standing by an announcement that individuals are free to trade it at their own risk. But without third party payment providers, new purchases of the currency are virtually impossible.

[...]

Read the full article at: theguardian.com




Tune into Red Ice Radio:

Clif High - Hour 1 - Bandwidth Caps, Bitcoin, ISON & Nummo Origins

Jason Erb - Hour 1 - Economic History & Alternative Currencies

John Perkins - An Economic Hitman on Predatory Capitalism & Corporate Monopoly

Catherine Austine Fitts - Swine Flu, Vaccination & The Economy

Bill Still - Hour 1 - Fixing Greece, The Crumbling EU & Monetary Reformation

Walter Block - Hour 1 - Libertarian Philosophy & Anarcho-capitalism

Tracy Twyman - Alconomics, Money & Magic





Related Articles
Russia’s Largest Bank Proposes Bitcoin Alternative
(NOOOOOOOO!) JPMorgan files patent for Bitcoin-style payment system
Bitcoin Was Created By DARPA?
Stefan Molyneux - The Truth About Bitcoin
UK Royal Mint Working On Plans To Issue Gold-Backed Physical Bitcoins
Bitcoin site is hacked, with $1million of the virtual currency stolen
Meet Dark Wallet – How Crypto-Anarchists Will Store Their Bitcoins


Latest News from our Front Page

60 Years of Research Links Gluten Grains to Schizophrenia
2015-03-31 1:05
Does the consumption of gluten-containing grains contribute to psychiatric disorders such as schizophrenia? Believe it or not, this question has been asked for well over 60 years by researchers who stumbled upon evidence that the removal of gluten from the diet results in improved symptoms, or conversely, that gluten grain consumption leads to higher prevalence of both neurological and psychiatric problems. Reports ...
A Sour Deception: Citric Acid Comes From GMO Black Mold, Not Fruit
2015-03-30 23:32
Just what is your food made of, anyway? Try industrial synthesis, genetically modified mold secretions, hydrochloric acid, mercury-contaminated caustic soda, ferrocyanide… and, of course, lots of GMO corn. If common ingredients like “citric acid” and “ascorbic acid (Vitamin C)” sound normal and familiar enough that you practically conjure up an image of the flourishing orchard they were grown in – then ...
Thousands of migrants dumped on Britain as French wriggle out of border promise
2015-03-30 19:56
Thousands of migrants could be dumped on Britain’s doorstep if France tears up a historic border agreement, it was claimed last night. Officials have vowed to do “everything in their power” to wriggle out of a treaty moving the UK border to Calais. The besieged town’s mayor Natacha Bouchart is prepared to spark a major diplomatic row by opening the frontier ...
Richard III laid to rest at Leicester Cathedral
2015-03-30 18:36
King Richard III was today laid to rest at Leicester Cathedral - more than 500 years after his death in battle. The monarch, who reigned from 1483 to 1485, was the last of the Plantagenet dynasty. Actor Benedict Cumberbatch read a poem by Carol Ann Duffy during the service. Also in attendance was Robert Lindsay, who played Richard III in a version ...
Sweden - A new paradise for Romani beggars
2015-03-30 17:33
Thanks to the European Union and freedom of movement that follows with membership Sweden has been flooded with gypsies from Eastern Europe. Most member states have cracked down hard on the phenomenon of organized begging with legislation and forceful evictions so the Romani (colloquially known as Gypsies) who are engaged in this venture have moved their business to the country where ...
More News »