China Bans Payment Companies From Clearing Bitcoin

18 December 2013FinanceTechnology

Bloomberg News:

Chinese central bank officials told third-party payment service providers to stop offering clearing services to online Bitcoin exchanges, according to China Business News, which is affiliated with the Shanghai government.

Companies currently offering services must end services by the Chinese New Year, a weeklong holiday that begins on Jan. 31, the newspaper cited Zhou Jinhuang, deputy director of payment clearance at the People’s Bank of China, as saying at a meeting with more than 10 third-party payment service providers.

Bad news for Bitcoin speculators. After reaching a price of nearly $1,200 earlier this month, Bitcoin is now trading at under $600.