Less than 1% of transactions in China are made with Bitcoin, says Central Bank

Since the end of last year, the Chinese government has been issuing restrictive measures around trade with cryptocurrencies, including the popular ICOs (Initial Offers in Cryptocurrencies); for the authorities, it seems that the proposed mission has been fulfilled, considering that recently the Central Bank of the People's Republic of China (PBoC) revealed that the exchange rate 'Yuan-bitcoin' fell by less than 1%.

Before the regulations, the volume of transactions was of 90%, for which the authorities of the banking entity determined to veto the exchange between fiat and digital currencies; imposing even travel restrictions on directors of exchanges such as Huobi and OKCoin.

Over time, the country's panorama saw more than 88 exchanges go to better territories and 85 representatives of ICOs to close their offers in view of the increasing reprimands of the government. For example, and returning to Huobi, he found a friendlier destiny in Singapore, while OKCoin moved its operations to Malta. Another affected was Binance, which, after receiving sanctions from China and Japan, finally opened a new subsidiary in the Mediterranean.

As for investors and consumers, they were deprived of trading activity with foreign exchanges - which was the last resort they had to obtain cryptocurrencies.

This situation has led to dozens of companies struggling to move to less abrasive regions, which, according to a Bloomberg report in early 2018, located most of these companies in European countries and, just some, in America.

The international communication agencies and Chinese local media have not stopped to speculate why the government took that path, taking into account the speed with which some corporations have been adopting the Blockchain technology, even in China.

While it is true that most countries, which nowadays have a high rate of commercial transactions in digital currencies, have been seeking regulations to control the market and put an end to illicit businesses, there has not yet been a case of such severity as that of China, where trade was practically eradicated.