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Huobi will gradually block Chinese user accounts until December 31, 2021, and Binance will stop new registrations

The Huobi exchange just announced that it will stop providing services to all active Chinese users by the end of this year in order to comply with the country’s regulations:

“Huobi Global will gradually suspend existing user accounts in mainland China on December 31, 2021 at midnight (UTC + 8) and ensure the security of user resources. We will notify users of specific and detailed agreements through official announcements, emails, text messages, etc. ”

Meanwhile, in response to China’s anti-crypto stance, Binance has stopped registering new users from mainland China.

Then one day on September 25th, Huobi also blocked Chinese people from creating new accounts on his platform.

The Chinese blockchain journalist Colin Wu has stated that the exchanges are currently exposed to “greater pressure” due to increasing regulatory action.

As Bitcoin magazine Reportedly, the People’s Bank of China (PBoC) recently issued a notice that it is illegal for foreign exchanges to provide services to users in mainland China.

According to some speculation, the move could be because China is trying to divert attention from the nearly $ 100 billion the PBOC just printed this week amid onshore retail real estate giant Evergrande. In addition, regulators may want to prevent Chinese citizens from using cryptocurrencies to move capital out of the country.

Both Binance and Huobi are from China, but the two crypto giants had to move to other jurisdictions after the government banned crypto trading in the country in 2017.

Chinese traders will rely on foreign exchanges with the help of VPN services.

Tether collapses in China

China’s stepped-up crackdown on the crypto industry has created significant selling pressure on Tether (USDT), the world’s largest stablecoin.

On September 25th, trading began at a discount of nearly 10% against the yuan in Huobi’s over-the-counter (OTC) market.

The source: Bitcoin magazine

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Annie

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Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.