China’s central bank unveiled plans to more closely inspect operations of digital currency exchanges in an effort to curb the yuan’s outflow.
The Chinese government seriously intends to keep its money at home.
The People’s Bank of China emphasized that bitcoin is not a currency and can’t circulate in the market as a real currency.
Overnight, the Yuan dropped to the lowest point since December 2008, and experts predict further declines.
Bitcoin has reached its highest value in the past three months, while Chinese central bank is tightening its control over the wealth management product funds.
As Chinese exchanges control around 95 percent of all bitcoin trading, this country has a significant impact on bitcoin operation all over the world.
The cryptocurrency called MUFG coin will reduce managerial costs and transaction fees.
Last year was hard for bitcoin. The value of virtual currency recorded a decline of 60% since January 2014. At that time Bitcoin was traded at $1,000 and now – at $267.
“Bitcoin is gold for nerds. It is something that a whole new generation of people believe in. The online nature of their lives and their economy, and so bitcoin, resonates with them.” — Nicholas Colas, Convergex