Hyped and wrong reports: China ban for cryptocurrencies is lifted
Yesterday, many Crypto related news outlets dropped the bomb that China puts an end to its ban on cryptocurrency exchange and possession.
The following article will try to explain what actually happened and why the report is inaccurate and misrepresented. After the first publication titled “China Lifts Bitcoin Ban; Individuals and Businesses Can Now Own Cryptocurrencies Legally.” many crypto enthusiasts jumped on the HYPE wagon and sparked new dose of hope and optimism within the space. While there was indeed a court ruling in the Shenzhen Court of International Arbitration, which involved crypto assets, the reports of the decision are far-stretched.
First of all, the rulling was officially announced on the 25th of October, which is almost two weeks ago, making the yesterday reports outdated. Secondly, the CnLedger, one of the most widely-known and trusted crypto news sources in China reported the court ruling as follow:
1/ Chinese court confirms Bitcoin protected by law. Shenzhen Court of International Arbitration ruled a case involving cryptos. Inside the verdict: CN law does not forbid owning & transferring bitcoin, which should be protected by law bc its property nature and economic value.
— cnLedger (@cnLedger) October 26, 2018
In other words, the governement is recognizing that Bitcoin is protected by law as a property, meaning that individuals or businesses can technically own Bitcoin or other cryptocurrencies. Yet, the trading of Bitcoin and other cryptocurrencies remains strictly banned. Moreover all the areas of the crypto market which have been previously prohibited by the governement of China will remain forbidden. Simply put, while individuals or businesses are allowed to accept and poses cryptocurrencies, all the ICOs, all the trading, all of the crypto events, or all the forms of OTC investments in cryptocurrencies are still banned.
In the current market conditions, such misrepresented news can lead to public confusion and negative consequences. We are all aware that Bitcoin price movement is currently undecided and moving between support and resist. In times like this, such reports can lead to many people making bad decisions, due to FOMO and irrelevant HYPE. The team behind Crypto and Chill, strongly recommend you guys to double check everything from trusted sources, before making any stupid decisions.
Oh, we almost forgot – China still prohibit cryptocurrency trading and investing, but don’t take it too hard, just Crypto and Chill!