China’s crypto exchanges shift to OTC trading, international expansion
Some of China’s leading cryptocurrency exchanges are shifting toward over-the-counter (OTC) trading after the country’s regulators imposed a ban on cryptocurrency exchange trading, Coindesk has reported.
On October 31, both OKEx and Huobi Pro – Hong Kong-based subsidiaries of OKCoin and Huobi, respectively – announced that they would launch peer-to-peer trading platforms that support fiat currency transactions, including the Chinese yuan. The platforms had previously provided only crypto-to-crypto trading, but the surging demand Chinese investors following the regulatory crackdown has prompted them to pivot toward a combination of the existing structure and the direct, peer-to-peer model.
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Coindesk cited OKEx’s financial market director, who said that the platform had received around 8,000 user application for account registration in the two days following the November 1 launch of the new service. Currently, the Chinese yuan is the only fiat currency available on the OKEx peer-to-peer platform.
Meanwhile, the chief executive officer of Huobi, Lin Li, said that, in addition to the P2P service on Huobi Pro, the company was also seeking an international expansion. Huobi is currently setting up an exchange in South Korea in a move to tap into the country’s vibrant cryptocurrency sector, which is dominated by local players such as Bithumb, Coinone and Korbit.
As of 13:40 GMT, the Bitcoin price stood at $7,428.74, slightly higher than yesterday’s closing level of $7,407.41. The cryptocurrency’s total market capitalisation currently stands at $123.8 billion, which represents 61.4% of the value of the entire cryptocurrency market.