China might have a change of heart towards cryptocurrencies
- Chines newspaper publishes material about bitcoin.
- Chinese authorities may soften their approach to digital currencies.
China adopted a tough approach towards the cryptocurrency industry; however, the attitude of the Chinese authorities seems to be changing gradually.
The Chines state newspaper Xinhua published a lengthy article explaining the details about the first cryptocurrency. The authors of the story call Bitcoin the first successful application of Bitcoin.
The newspaper describes how bitcoin network works, explains the idea of mining and the BTC transactions confirmation process. The article looks like an educational material; however, the authors also mention the high volatility of Bitcoin prices and claim that the cryptocurrency is mostly used on a black market.
Slow improvements
While the story is not entirely pro-crypto, such publications in state-run newspapers may indicate that the authorities may be changing their touch attitude towards digital assets.
Recently, China's President Xi Jinping said that the country should embrace the blockchain technology to seize global leadership in hi-tech innovations.
It is worth noting, that China imposed a ban on cryptocurrency trading in September 2017; however, the recent flow of positive news may eventually mean that the country is ready to lift the restrictions.
This development will serve as a strong bullish catalyst for bitcoin and ensure a sharp price increase to a new high of 2019. Meanwhile, at the time of writing, BTC/USD is changing hands below $8,800, down 2.5% since the beginning of the day.
BTC/USD, daily chart
Author
Tanya Abrosimova
Independent Analyst
