As it is known, for the last time China’s government has been tightening the screws of the crypto market in the country. As we can see, the result is that the exchange, which is believed to be the oldest bitcoin trading platform in the world, – BTCC – has been obtained by the blockchain investment fund, located in Hong Kong.
Now, it is expected that the platform will live a freer life as Hong Kong, being China’s Special Administrative Region, has much more to offer than the strict Chinese authorities.
Severe Chinese Realities
According to bitcoincharts.com, BTCC (initially famous as BTC China) used to be the second major exchange in the world by volume back in 2014. Currently, it is not even in top-10 of the list. One of the reasons why BTCC shifted downwards was the Chinese crypto curbing policy.
Last year autumn the country banned initial coin offerings, as well as bitcoin trading, which could jeopardize China’s economy. This year mid-January, Bloomberg reported that it could even target online platforms and mobile applications for crypto trading.
Against such a background, Bobby Lee, CEO, and co-founder of BTCC had to ‘pack up the office’ back in September 2017, stopping trading operations in China. In the interview with CNBC, Lee said that the duration of this China’s taboo is just a matter of time. However, not wishing to wait for too long, he agreed to BTCC’s acquisition by the Hong-Kong-based fund.
There are not many details about conditions and terms of the acquisition, but it is apparent that BTCC will get profits from trading abroad from Hong-Kong rather than from bitcoin-unfriendly China.
The Chinese crawling restrictions have led to the shutoff of lots of internal cyber money exchanges. Not wishing to appear among them, BTCC decided to dodge restrictions and concentrate on trans-border trading, what the company confirmed in the last week announcement.
“[The] acquisition is an incredible milestone for BTCC that validates all of our hard work over the past few years. I’m very excited about the resources this gives BTCC to move faster and aggressively grow our businesses in 2018 and beyond,” said Lee.
Also, Lee added that new opportunities would help BTCC to enhance payments, trading business, as well as a pool. Remarkably, the last one is going to remain among top-3 main company’s products on par with BTC wallet Mobi and dollar-based cyber money exchange.