After more than four years of being in the business, the oldest Bitcoin exchange in China is calling it quits. The Hong-Kong based Bitcoin exchange, BTCC, will close indefinitely from what it has described as business adjustments. What the adjustments are exactly is not known to the public and the firm did not divulge any details surrounding the closure. Its mining servers will shut down on November 15 and will have a complete halt of operations from November 30.
Many have questioned the closure of the exchange given that it comes at a time when the blockchain industry is expanding rapidly. However, through a statement, the company was quick to quell any form of speculation stating, “We firmly believe that the cryptocurrency assets and the blockchain industry represented by Bitcoin will continue to develop and improve.”
Bitcoin exchange BTCC enjoyed massive following in China
The company had its first round of venture capital financing in 2013 after finding its place in China in 2011. In 2014, it was the world’s second-largest Bitcoin exchange. Since then BTCC has had a significant presence in China as the country’s first Bitcoin exchange. As of last month, the firm had plans to launch trading services in South Korea.
To date, the firm has earned immense support from miners; thanks to its stable and transparent mining services available 24/7. The BTCC mining pool had close to 150 employees and supported the likes of SBTC, BCD, BCH, LTC and BTM mining.
Notable shifts in the Bitcoin mining landscape
The closure of the BTCC may be strategic. It is happening at the same time there is a reawakening of price stagnation. The stagnation had pushed up costs for miners across the board. However, there are some indications that the market is making a positive turnaround.
Nonetheless, there seems to be some optimism for a comeback for BTCC. The exchange did hint that its decision to close down was not strictly permanent. Meanwhile, it is not clear how BTCC’s recent announcement will affect the Bitcoin mining space.