The Chinese bitcoin FOMO appears to be on the rise as a major bank has reportedly invested in a local wallet platform. This report marks another significant crypto- and blockchain-related development from China as the country appears to be moving toward government-approved adoption.
China Merchants Bank Invests in BTC Wallet Service
Tweeting Monday (October 28, 2019), Dovey Wan co-founder of Primitive Ventures revealed that China Merchants Bank has invested in BitPie ̵
China… China Merchant Bank has just announced investing in BitPie, the longest history Bitcoin wallet and most users back in China …
Tho it is a non-depot wallet it may be a chance that is not zero … [redacted] 🤐🤐🤐
– Dovey 以德服人 Wan 🗝 🦖 (@DoveyWan) October 28, 2019
According to Wan, BitPie is the longest-serving bitcoin the wallet platform in China, with the most users. The investment in BitPie comes just a few months after the bank's shares fell 13.7% amid ongoing investigations in the US for involvement with North Korean state players.
However, for Wan, the move is part of a growing trend of crypto and nationalization of blockchain in China. The Primitive Ventures boss, noted:
All I can say is that this is a sign of the [the] beginning of the nationalization of Bitcoin / Cryptocurrency related infrastructure on the mainland [China]. Eventually, all things can be state-owned, or at least partially (mining, ASIC, stock exchanges, wallets, etc.).
Despite the 2017 ban on crypto trading and initial coin offerings (ICOs), p2p trading is allowed in China. There are even reports that larger exchanges are driving bitcoin over-the-counter (OTC) desks via marketplaces on popular Chinese payment services such as Alipay and WeChat Pay.
Chinese Bitcoin FOMO on the Rise
If Wan's deduction proves accurate, then there may be a wave of institutional involvement in bitcoin and cryptos in general. Such a development could provide a further boost to the already growing crypto interest in China.
Coming next year, the Cryptography Act comes into force. Reports suggest that the new law aims to provide a robust framework for crypto and blockchain technology, as well as make China more competitive in the emerging digital landscape.
As previously reported by Bitcoinist bitcoin FOMO in China is on the rise. Since the country's president XI Jinping mentioned blockchain technology, there has been a wave of positive interest swept across the country.
Search trends from Chinese search engines like Baidu show a significant uptick in bitcoin and crypto interest. Also, Chinese altcoins like NEO and ONT have shrugged off this positive wave of enthusiasm with huge prize wins.
Do you think China is moving towards the nationalization of the crypto and blockchain industry? Let us know in the comments below.
Photos via Shutterstock, Twitter: @DoveyWan