Assets, Bitcoin

What Is Bitcoin in Chinese?

Bitcoin is a digital asset and a payment system invented by Satoshi Nakamoto. Transactions are verified by network nodes through cryptography and recorded in a public dispersed ledger called a blockchain.

Bitcoin is unique in that there are a finite number of them: 21 million.

Bitcoins are created as a reward for a process known as mining. They can be exchanged for other currencies, products, and services.

As of February 2015, over 100,000 merchants and vendors accepted bitcoin as payment.

Bitcoin has been criticized for its use in illegal transactions, its high electricity consumption, price volatility, thefts from exchanges, and the possibility that bitcoin is an economic bubble.

Bitcoin has also been used as an investment, although several regulatory agencies have issued investor alerts about bitcoin.

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The first Chinese Bitcoin exchange was BTC China. It was launched in September 2013.

The company allows users to buy and sell Bitcoins using Chinese Yuan. In January 2014, BTC China exceeded 10% of the world’s total Bitcoin trade volume. .

As of November 2013, there were about 12 million Bitcoins in circulation with a total value of about $1.25 billion.

Bitcoin’s success in China has led to the creation of several other Chinese Bitcoin exchanges including Huobi and OKCoin.

In December 2013, the People’s Bank of China issued a notice banning financial institutions from handling bitcoins. The notice caused the price of Bitcoins to briefly drop from $1,000 to around $750 before recovering to its previous level within days. Despite the ban, some Chinese exchanges continued to allow clients to withdraw funds in Yuan converted from Bitcoins.

In January 2014, the PBOC repeated its notice with stronger wording and again caused the price of Bitcoins to drop sharply. However, within days the price recovered and reached new highs as Chinese exchanges resumed withdrawals processed through third-party payment processors such as OkPay and Perfect Money.

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