As Bitcoin's price on Chinese trading platforms keeps hitting new highs, China is reportedly mulling new measures for Bitcoin trading and anti-money laundering. The new measures are expected to be published in June.
Bitcoin's price on Chinese platforms has been on the rise since April. On May 10, it topped 10,000 RMB, up 5.8 percent in just 10 hours, setting a new all-time high after hitting 9,740 RMB the previous day.
Bitcoin trading in China has been very active, as most domestic trading platforms only recently started charging commission fees. The trade volume started to drop after the Central Bank ordered them to start charging trading commissions for fear that the platforms would become money laundering sites, news site Caixin reported.
Citing anonymous sources close to relevant authorities, Caixin claimed that the People's Bank of China is expected to issue two regulations on the management of Bitcoin trading platforms in June to prevent them from becoming money laundering sites, after recently inspecting the nation's trading platforms.
Xiao Lei, a senior Bitcoin market analyst, told 21st Century Business Herald that the new measures may apply to foreign exchange and financing activities. Bitcoin traders may also be required register with their real names.
"There needs to be a clear bottom line for the management of Bitcoin trading platforms and websites. A blacklist should also be set up. Activities such as trading or financing on margin and market manipulating measures such as commission-free trading must be banned," Zhou Xuedong, an operations and managing director with the People's Bank of China, said in an exclusive interview with Caixin in March.
