Goldman Sachs says that 80% of bitcoin volume is now exchanged into and out of Chinese yuan, with the second-highest trading currency the US dollar, followed by smaller in yen and euros.
An interesting article from Quatz. more:
- The Chinese bitcoin surge comes against a backdrop of waning confidence in the Chinese economy
- And as yuan weakens against the dollar & capital outflows
- The People’s Bank of China clamped down on Bitcoin in December 2013, when it banned bitcoin transactions at banks, retailers, and payment companies such as Alipay and Tencent.
- But the data show that bitcoin volume continued marching higher
- The fact that China has become a major mining hub is a likely contributor to its high bitcoin transaction volume, according to a report from the U.S.-China Economic and Security Review Commission
- The report also notes that bitcoin has lured day traders looking to profit off of bitcoin's volatility, as well as younger Chinese investors who might not have the money to invest in property or the understanding to invest in the stock market.
