It would appear there is a lot of misleading being distributed in the cryptocurrency space today. Any reports regarding “office raids” in Shanghai against crypto firms need to be taken with a few grains of salt.
Wherever one looks, it would appear cryptocurrency firms with offices in Shanghai are being raided.
No Confirmed Shanghai Raids to Speak of
Various media outlets report how both Binance and Bithumb are allegedly among the targets.
While such a move is not unthinkable by the Chinese government, it wouldn’t be in their best interest to do so at this time, if ever.
The country recently issued a decree in which the focus will shift to utilizing blockchain technology.
Unfortunately, that also means the status of cryptocurrencies remains very questionable in China these days.
For the time being, none of the Shanghai reports have proven to be correct.
In fact, officials from both Bithumb and Binance have refuted all of these allegations.
In the case of Binance, the company seemingly doesn’t even have an office in Shanghai, thus it would be very difficult to have such a place raided.
It would appear there is, once again, a fair bit of FUD and misinformation being spread from China, or at least involving China.
This is partially why the Bitcoin price has been on the decline for several days now, with no real signs of an imminent recovery.
China news cycles involving cryptocurrencies used to be very common in this industry a few years ago.
Ever since China disallowed the trading of Bitcoin and altcoins against the Yuan, the rumor mill had shut down, until these past few weeks.