4 ms·
You're right - the yuan trades at a discount in bitcoin.
by abandonliberty 11y ago
You're right - the yuan trades at a discount in bitcoin.
- Animats 11y agoRight. The main use of Bitcoin is now getting money out of China. That's why the Bitcoin exchanges in China do so much volume. The PBOC cracked down on this once, and Bitcoin fell from over $1000 to $250. Now, as of November 2015, it's apparently possible to do yuan transfers within China to at least one Bitcoin exchange, which is pushing the price back up. There was a brief spike to $500 when that suddenly became possible, but the price dropped rapidly back to $320 or so. Unclear why the PBOC hasn't plugged that hole yet, but they probably will. Bitcoin mining is also a way to get yuan out of China and into another currency. Bitcoin mining doesn't violate China's capital controls; it's considered manufacturing and exporting. That's encouraged in China.
- justincormack 11y agoThe main use of bitcoin in China is getting into the MMM Ponzi scheme,which is a huge fraud. Getting money out of China is done by other means, like $64bn underground banks.