OKCoin and Huobi to Meet With Regulators Tomorrow as BTCC Announces Temporary Suspension

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The recent struggles in the cryptocurrency market have created a lot of concerns and speculation. With BTCC effectively halting trading at the end of the month, things aren’t looking great. It is possible Huobi and OKCoin will follow a similar path. Those companies will meet with regulators tomorrow, according to Charlie Lee. It will be interesting to see what comes of these discussions. This is the final measure China can take to effectively hurt the Bitcoin price, though.

The news regarding BTCC has caused a lot of friction among cryptocurrency users. With the exchange halting trading, it is evident there is a lot of confusion. This decision has nothing to do with the rumors regarding exchanges being shut down. Instead, BTCC launched a cryptocurrency ICO platform, which has been shut down ever since. As a result, the parent company will undergo some big changes as well. This is why they are halting trading temporarily.

BTCC Decision is due to ICO Regulation

What is somewhat troubling is not knowing how long this suspension will last. Since no one knows what BTCC  has to do to comply, there’s a lot of speculation. Getting involved in the ICO sector was a bad decision by the company at that given time. It is evident they would face additional scrutiny at one point or another for this effort. This decision does not affect Bitcoin itself, though, as the cryptocurrency is doing just fine despite the price dip.

According to the above tweet by Charlie Lee, OKCoin and Huobi may be on the chopping block tomorrow. He hints at how company officials will sit down with regulators tomorrow. So far, there has been no order to shutdown or any official inquiry we are aware of. Then again, we will see how things evolve after the meeting is over. This is the final step China can take to interfere with Bitcoin activities, though. Once this issue is sorted and cleared up, there is nothing to hold the world’s leading cryptocurrency back.

All of this goes to show now is the time to work on decentralized exchanges. Centralized companies are a weak link in any sense of the word. They control user funds and are prone target to regulation and ban hindrance. In a way, they are pretty much becoming obsolete once decentralized solutions become available. e Cross-chain atomic swaps are another option worth exploring. That technology is still in the early stages of development, though.

Header image courtesy of Shutterstock

About JP Buntinx

JP is a freelance copywriter and SEO writer who is passionate about various topics. The majority of his work focuses on Bitcoin, blockchain, and financial technology. He is contributing to major news sites all over the world, including NewsBTC, The Merkle, Samsung Insights, and TransferGo.



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