Amid the increasing popularity of cryptocurrency and the struggles its facing from tight regulation to banning, and now, its encounters another problem in China after authorities are blocking the platforms in its social media.
The Chinese government is taking further action to deter the practice. According to reports, local internet users can still access the Chinese social media accounts of former-mainland exchanges abroad and regulators have now acted to prevent this.
Chinese internet financial regulators have blocked access to the social media accounts on the Wechat network of some overseas bitcoin exchanges, Beijing-based media group Caixin has reported on Tuesday.
As of now, Wechat has over 1 billion monthly active users and serves as a master platform that runs about 600,000 different mini-programs.
The dominance of the internet ecosystem in China is a great platform for business which fueled by internet and online audience such as cryptocurrency, the latter is run by Blockchain system.
It can be remembered that many former Chinese trading platform operators have left the country’s mainland and set up shop in the self-regulated territory of Hong Kong or even farther afield where they are free to offer services with Chinese language support and accept deposits from mainlanders if they can get to them.
By pushing the industry offshore, regulators have thus lost the control of exchanges they might have had otherwise and forced to try and block them if they find something they disapprove of like promoting ICOs.
As reported back in February, Chinese authorities have already decided to block internet access to the websites of overseas cryptocurrency exchanges and platforms promoting ICOs. However, local users are reportedly still able to access such international trading venues as Huobi, OKEx and Binance even without the use of a VPN to bypass the Great Firewall of China, supposedly triggering the recent social media crackdown.