Dogecoin Impact From China’s Crypto Currencies Ban!
Dogecoin is down and what’s going on in the broader crypto market. What were the new measures to the previous measures, and why? What is China doing, and what does it mean for Dogecoin?
China has imposed a ban on crypto currencies
China has instituted a ban on crypto currencies, to the great disappointment of the world. This will have an effect on Bitcoin, Dogecoin and every other cryptocurrency in the marketplace. Chinese authorities also strengthened restrictions on financial institutions from offering services linked to crypto currency trading platforms.
The People’s Bank of China announced back in June two 2019 that it would block access to both domestic and international cryptocurrency exchanges as well as digital coin listing websites for good measure – all things considered they’re not too keen about this new form of money anyway. The People’s Bank of China has issued a new ban that includes facilities not previously listed. It said financial institutions should refrain from accepting virtual currencies or using them as payment methods.
But there is room for the currency to rise
Financial institutions are also encouraged to increase their surveillance of cryptocurrency related money transfers, which sent crypto markets tumbling with Bitcoin falling 11% within two hours after the announcement by Chinese authorities who designated Bitcoin in 2013 and stated individuals were free to sell it online at will under supervision while reserving right for government intervention when deemed necessary.
But financial authorities, including the PRC, prohibited banks and payment providers from offering Bitcoin related services later that year. China’s state council said retail buyers can also purchase computing resources from cryptocurrency miners.
Meanwhile, the PEOC has launched its own digital currency in response to possible danger of crypto coins coming into play for fiat currencies like yuan which is prevalent here due to Friday being a downer based on Coin Desk Research’s data about 8 major spot Bitcoin exchanges. But there is room for the currency to rise, as long-term Bitcoin ban will send ripples through its share price.
So what does this mean for Dogecoin?
Dogecoin has been accepted across economies in Europe, Africa, Australia and North America. Even in Southeast Asia, countries such as Japan, India and South Korea are hyper digitized and a long way from banning crypto currencies.
Dogecoin price close to 40 cents at the time of recording, but two headwinds are currently facing Bitcoin. First, the energy consumption debacle and the recent ban in China have put a spotlight on cryptocurrency. If anything, the long term prospects of Doge are rather promising, and there is every indication that the price will hit the hundred dollar mark. Dogecoin will be one of the preferred currencies for the longer run.