Bitcoin Too Hot in China

This is kinda “old news” form a few days ago, but just in case you missed it one (or maybe THE) of the reasons for the sharp bitcoin drop was that China tapped the brakes on some bitcoin trading. More scrutiny and trading fees are being enforced. We at FintekNews say…..BIG DEAL. Only means the realization that bitcoin is here to stay and accepted.

So China is taking a closer look at bitcoin trading and imposing fees on transactions which resulted in a decrease in trading last week. Obviously closer regulation was (and will continue to be) forethcoming and trading costs increased. Stocks and commodities have all that. Read the article as an introduction to the mainstream market arena. (Bill Taylor/CEO)

“Chinese cryptocurrency exchanges are now charging a flat fee of 0.2% per transaction for both market makers and takers starting 12:00 p.m. UTC+8 on Tuesday, January 24th….

The decision by BTCC, Huobi, and OKCoin (trading exchanges) to implement a trading fee comes soon after the recent spot checks by the People’s Bank of China that pointed out a “ significant volatility in bitcoin trading”.

According to the report by The Star Online, ‘a person familiar with the matter said the exchanges had not received direct instructions from the PBOC, but decided to introduce trading fees to align with its wishes to see the bitcoin market cool down.'”

Source: Coinidol