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Bithumb Quashes Shanghai Office Closure Rumors After Binance Denial


South Korean cryptocurrency exchange Bithumb is denying recent reports that Chinese authorities have raided its Shanghai offices.

On Nov. 21, a Bithumb spokesperson informed the Block that the recent rumors of a police raid and closure of the exchange’s Shanghai offices are false and that its one and only Shanghai team continues to operate “steadily without pause.”

Yesterday, Chinese media reportedly wrote that the South Korean crypto exchange had told its employees to take a long vacation, without informing them about any specific date on when to return to work. Bithumb has now denied these news reports.

Binance is also denying media reports

Leading cryptocurrency exchange Binance also came forward refuting media reports that claimed that Chinese police had raided and subsequently shut down the exchange’s Shanghai offices, which according to the exchange, “don’t even exist:”

“The Binance team is a global movement consisting of people working in a decentralized manner wherever they are in the world. Binance has no fixed offices in Shanghai or China, so it makes no sense that police raided on any offices and shut them down.”

A Binance spokesperson told Cointelegraph that the exchange is apparently being targeted in the Chinese media, pointing to the “recent spike in the number of negative articles and activities against Binance” in the country. Binance further said:

“We also encourage our friends from the media to verify if their ‘sources’ are telling the truth or presenting their own agenda.”

Crypto markets take a dive amid reports

The rumors of police raids and closure of Binance and Bithumb offices were accompanied by a sharp drop in cryptocurrency prices, which at press time, were continuing to find lower lows. The world’s largest cryptocurrency, Bitcoin (BTC), for example, took a significant hit of around 5% on the day, trading at around $7,640 per coin.





Cointelegraph News

Binance Denies Police Raids, Very Existence of Shanghai Offices


Recent reports that Chinese authorities have raided the offices of leading cryptocurrency exchange Binance, are actually quite false. 

Speaking to Cointelegraph on Nov. 21, a Binance spokesperson refuted media reports that Chinese police had raided and subsequently shut down the exchange’s Shanghai offices. Furthermore, the spokesperson stated that no such offices even exist:

“The Binance team is a global movement consisting of people working in a decentralized manner wherever they are in the world. Binance has no fixed offices in Shanghai or China, so it makes no sense that police raided on any offices and shut them down.”

Negative media agenda in China

The spokesperson also stated that Binance is being targeted in the Chinese media, adding that there has been “a recent spike in the number of negative articles and activities against Binance” in the country. Binance further said:

“We also encourage our friends from the media to verify if their “sources” are telling the truth or presenting their own agenda.”

The exchange said that it is concentrating on building its blockchain and cryptocurrency ecosystems, and that it would “work closely with any government to protect users and grow the blockchain industry.”

Markets fall amid reports

As Cointelegraph reported earlier today, the rumors of a police raid and closure of Binance’s offices were accompanied by a sharp drop in cryptocurrency prices, which at press time are still seeing notable losses. 

Among the world’s active cryptocurrency exchanges, Binance is a behemoth. With a current 24-hour trading volume just over $1 billion, the exchange is the second-largest in the world, according to data from Coin360

Earlier today,  Binance’s United States-targeted service Binance.US announced that it will provide liquidity to crypto brokerage firm Tagomi following a new partnership. Binance.US said that it will now offer institutional liquidity for Tagomi’s users, including quant funds, venture funds, family offices, individual retirement accounts and high-net-worth individuals.





Cointelegraph News

Markets Crash After Reports That Binance’s Shanghai Office Closed in Crypto Crackdown


Chinese authorities have reportedly raided and shut down the Shanghai offices of leading cryptocurrency exchange Binance. 

Citing unnamed local sources, The Block says that local police have shut down Binance’s offices after raiding the premises. Between 50–100 of the exchange’s employees reportedly worked out of the Shanghai location.

Binance has not responded to Cointelegraph’s requests for comment as of press time. 

Closure follows crackdown 

The purported raid follows a crackdown on cryptocurrency-related businesses and activities in the country. 

Recently, financial authorities in China issued a notice to the public, directing individuals to report businesses engaged in virtual asset trading to the Shanghai headquarters of the People’s Bank of China — the country’s central bank. Activities that must be reported include:

“Virtual currency transactions in the territory; the other is to issue ‘xx coins’ and ‘xx’ in the form of ‘blockchain application scenarios.’  Currency, fundraising or bitcoin, virtual currency such as Ethereum; third, providing services such as publicity, diversion, agency trading, etc. for registered ICO projects, virtual currency trading platforms, etc.” 

Notice from authorities on cryptocurrency-related activities. Source: Chain News

However, Binance told Cointelegraph that the company had not received this notice. Similarly, Beijing-founded Huobi told Cointelegraph that the company was familiar with the notice, but had not received it.

Offices are an outdated concept?

In a move of regulatory arbitrage, Binance opened offices in Malta in 2018 as the island nation ramped up its cryptocurrency-friendly regulatory projects.

Last month, rumors abounded that the exchange was opening offices in the Chinese capital of Beijing, despite the country’s decidedly anti-cryptocurrency stance. 

However, according to the firm’s CEO Changpeng Zhao, offices themselves are an antiquated concept. In a tweet on Nov. 19, Zhao said, “Office and HQ are old concepts like SMS and MMS. Time is moving on…” 

Markets react with major coins seeing red

Cryptocurrency markets have reacted to the news, with most major coins seeing significant losses on the day.

Cryptocurrency market visualization. Source: Coin360

Bitcoin (BTC) is seeing losses over 6% while leading altcoin Ether (ETH) has lost over 8% in the last 24 hours. Altcoins like Litecoin (LTC) and EOS are taking a beating with over 9% losses, while Binance’s own coin, Binance Coin (BNB), is down 10% at press time to trade at $16.58.





Source Cointelegraph

Shanghai Gov’t Partners With 6 Banks on Blockchain Alliance for Trade


The municipal Shanghai government has joined forces with financial institutions to create an alliance to foster the use of blockchain for global trade. 

The Global Times reported on Nov. 7 that during the China International Import Expo earlier today, the Shanghai Municipal Commission of Commerce, Shanghai Customs and representatives from six bank branches — including the People’s Bank of China and Bank of Communications — signed a Blockchain Alliance proposal for the city’s e-port area.

Blockchain for multilateral trade

Chen Huifang —  a professor at the College of Information Science and Electronic Engineering of Zhejiang University — told the Global Times that blockchain has previously been implemented in several free trade zones across China, noting that:

“Blockchain technology increases the reliability of information, thus improving the efficiency of customs clearance, reducing costs and promoting trade facilitation.”

An official from the General Administration of Customs of Shanghai, Ye Jian, emphasized that the blockchain alliance represents “the first blockchain application project in customs and the first service project for the CIIE.” 

He added that blockchain had been successfully implemented in the newly-launched cross-border yuan trade financing services for Shanghai’s single window system, helping to tackle data imbalance issues in the process.

As the Global Times notes, a pilot blockchain system was also trialed for cross-border financial services in Nanning, South China’s Guangxi Zhuang Autonomous Region, this October.

Qi Hong, vice director of China Construction Bank’s Shanghai branch, emphasized to reporters that the technology remains in its early experimental phase in the country, outlining that:

“We now use blockchain in sporadic financial products instead of the whole finance industry chain, and the public doesn’t have a sound understanding of the technology when it comes to financing. But I think the government’s call for blockchain construction will help push the technology’s application in a more comprehensive way.” 

High-level endorsement

As reported, China’s President Xi Jinping has recently stated that the adoption of integrated blockchain technologies is key to promoting tech innovation and industry transformation in the country.

Reflecting on the president’s remarks, Galaxy Digital CEO Mike Novogratz this week claimed that the statement had “credentialized crypto and blockchain.”

Even as China’s National Development and Reform Commission has now rolled back its former plans to crack down on Bitcoin (BTC) mining in the country, local media has cautioned against misinterpreting the president’s remarks as being an endorsement of decentralized cryptocurrencies.





Source Cointelegraph