? The cryptocurrency community has accused Bloomberg, as well as blockchain journalist Colin Wu (Wu Blockchain), of spreading old threats of the Central Bank of China against bitcoin. The incident occurred after Colin Wu (12:14 p.m. MSC), followed by Bloomberg (12:40 p.m. MSC), published a ruling from the Chinese regulator.
? The document says that all cryptocurrency transactions in China are illegal. Also, any business providing cryptocurrency services in China fell under the ban. Amid the news, bitcoin price in the pair BTC/USDT momentarily collapsed by 5% to $41,956 (BitMEX).
? However, the cryptocurrency community questioned the relevance of the ban. In particular, users noticed that exactly the same news about the ban appeared on the network back in the first days of September. Wu himself claims that although the rulings are dated back in the past, it only became publicly known about them today. He also called all those who claim otherwise “liars.”
? The network is actively referring to the Twitter account of a user with the nickname @bigmagicdao. There, a user named Molly claims that the Central Bank of China’s announcement, although it was “widely circulated today,” the news was known at the beginning of the month. According to her, the market reacted to it even then.
? In fact, the market (if the reaction was a response to the news from China) reacted to the news with a delay. For example, according to a copy of the rulings, the announcement of the ban between Chinese officials first became known on September 3 and 15. At the same time, bitcoin experienced notable drawdowns as they emerged: September 7 (-19.8%) and September 20 (-10.6%). The fact that the first rumors appeared long before the announcement from Bloomberg and Colin Wu is confirmed by the date of the first report of updated repressions from China.
? Recall, China’s first crackdown on the cryptocurrency market appeared back in 2017. Then the regulator banned cryptocurrency exchanges from registering new users. Then the regulator also banned initial coin offerings (ICOs) in the country. In mid-May, China once again reminded itself by permanently expelling all cryptocurrency miners from the country.