China has begun rounding up and detaining Bitcoin executives who run exchanges in the country, amid a huge crackdown against cryptocurrencies.
As the war on Bitcoin continues, Chinese media is reporting that executives who operate Bitcoin exchanges are being told they are not allowed to leave Beijing whilst the government conducts an investigation.
“A number of informed sources say the executives of special currency trading platforms are not allowed to leave Beijing to cooperate with the investigation. In accordance with regulatory requirements, trading platform shareholders, the actual controller, executives and financial executives need to fully cooperate with the relevant work in the clean-up period in Beijing.”
Trustnodes.com reports: Australia’s Financial Review (AFR) says the above has been confirmed with them by “a source close to one of the biggest exchanges, Huobi,” which told them its founder, Li Lin, was required to “report to the authorities and cooperate with their work at any time.”
The draconian measure is undertaken following a decision by China’s Communist Party to close down all crypto exchanges, with trading volumes in the country dropping considerably.
Chinese trading volumes now account for only around 5% – 10% of bitcoin’s or ethereum’s global trading volumes. With price there significantly lower. Leading CoinMarketCap to exclude them from calculations of average prices.