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China Orders Bitcoin Exchanges In Capital City To Close (bbc.com)
An anonymous reader quotes a report from BBC: China is moving forward with plans to shut down Bitcoin exchanges in the country, starting with trading platforms in key cities. All Bitcoin exchanges in Beijing and Shanghai have been ordered to submit plans for winding down their operations by 20 September. The move follows the Chinese central bank's decision to ban initial coin offerings in early September. Top exchange BTCC said it would stop trading at the end of the month. Chinese authorities decided to ban digital currencies as part of a plan for reducing the country's financial risks. All exchanges are required to send regulators a detailed "risk-free" plan of how they intend to exit the market before 18:30 local time on Wednesday 20 September. The regulator also ordered the exchanges to submit DVDs containing all user trading and holding data to the local authorities. Shareholders, controllers, executives, and core financial and technical staff of exchanges are also required to remain in Beijing during the shutdown and to co-operate fully with authorities.
Proof? 6 of the top 20 richest people in the world are all members of the official "Party" in a country that still claims to be communist? Maybe they don't to deal with the hassle and expense to re-brand their country and relegate any thing referencing to communism to a museum.
If you want your widgets to be manufactured using slave labor in China you are required to hand over and IP associated with your widget. If you want access to the Chinese market to sell your widgets you will also be handing over all the IP associated with widget in question. And the corporate tax rate in China is 40% which will be applied on any revenue you generate within China. China has damn near eliminated all the trouble and expense of R&D by waiting for others to do all the heavy lifting before stealing the end results. It's a sound strategy so kudos to them for going down the road less traveled.
The top 9 officials of the "Party" have not only enriched themselves they have practically made their positions hereditary. The US may have a 1% group but China's is more like 0.0001%.