http://blogs.wsj.com / By Paul Vigna and Michael J. Casey / Apr 14, 2014
- Bitcoin prices continue to recover from the China-induced selloff. Prices are up another 10% or so, on pretty heavy volume.
Yes, as we relayed last week, some Chinese bitcoin-exchanges received notices from their banks that they wouldn’t handle any bitcoin-related transaction services. That caused the price of bitcoin to swoon. But it started rebounding on Friday after the governor of the People’s Bank of China said the government is not going to ban bitcoin. It continued to rise over the weekend and Monday as bitcoiners grew less concerned.
There seems to be good reason for the growing ease. BTC China, the most well-known of the Chinese exchanges, has yet to receive any notices, according to CEO Bobby Lee. “We are so excited that we have not heard anything from the banks,” Mr. Lee told BitBeat. “It looks like we’re going to coast through this episode gracefully.”
But he has his fingers crossed. The events of the past week have convinced him that the government has disseminated what amounts to a “confidential” policy, which has led to uneven enforcement. It may just be an accident that his company hasn’t been hit by the notice, he said. - READ MORE