The trading value of the Bitcoin has halved after China introduced new restrictions on the virtual currency. China has blocked the BTC China firm, one of the biggest Bitcoin traders, from receiving Bitcoin yuan-based deposits from local payment companies.
Following the news, Bitcoin started trading at $421, a dip from $1,250 which was achieved last month. As a result of the restrictions, traders have been ‘panic selling’, one expert told the BBC.
The Bitcoin has been greeted unfavorably by governments all over the world, as they fear that savers may use it to bypass currency controls and move savings out of the country.