Two of China’s top bitcoin exchanges are now changing to the over-the-counter (OTC) market in the clash of a clampdown by officials in the nation.
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OKEx and Huobi Pro both announced that they will initiate peer-to-peer trading programs that encourage fiat currency transactions, including the Chinese yuan, as a replacement for the country’s domestic cryptocurrency investors.
Previously, the two Hong Kong-based exchanges traded solely crypto-to-crypto but now will gyrate toward an amalgamation of the standing structure and the direct, peer-to-peer (P2P) model.
OKEx announced that the yuan is presently the only fiat currency that is obtainable on its P2P platform, remarking that it has seen escalating demand from Chinese financiers since the exchange crackdown.
The platform has received around 8,000 new account registrations since the new service’s launch on November 1.
Huobi CEO, Lin Li, announced that on top of P2P trading, the company also wants to expand to overseas markets and is currently in the process of starting an exchange platform in South Korea to compete with local exchanges like Bithumb.
This news comes after increasing inspections by Chinese officials that resulted in all bitcoin exchanges in the country to suspend trading of digital assets against the yuan.