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China looks to ban Bitcoin exchanges

(Image credit: Image Credit: Geralt / Pixabay)

If you were wondering why the price of Bitcoin dropped faster than Ronaldo when he gets looked at by opposing defenders, turn your attention towards China.

Reports have claimed that China is currently drafting a new resolution which will see Bitcoin exchanges banned in the country. With China being such a huge country, and one of the biggest Bitcoin miners in the world, it's no wonder that the price dropped.

The crypto-coin lost roughly $500 in value since the information started circulating.

The funny thing is – nobody knows for sure if all of this is is a hoax or if it will actually happen.

Exchanges including Okcoin and Huobi have already said that they received no notices from the Chinese government and that business is as usual.

Misinformation with the goal of reducing cryptocurrency value is not rare – two months ago rumour started spreading that Ethereum's founder Vitalik Buterin died in a car crash, dropping Ethereum's value by more than $100.

The Chinese government did, however, ban ICOs – initial coin offerings – less than a month ago, sending cryptocurrencies plummeting. ICOs are now illegal in the country, and the regulator asked all those who raised the money this way to provide a refund to the investors.

Image Credit: Geralt / Pixabay