The majority of bitcoin transactions carried out over the last 30 days came from yuan trades, it has been revealed.
China-based exchange BTC China tweeted that a total of 71% of bitcoin trades last month could be attributed to yuan users – the Chinese market, in other words.
— BTC China (@btcchina) September 5, 2014
The exchange cited data from bitcointy, which indicates that the majority of transactions were carried out in yuan. Second place goes to the US dollar, with euro transactions trailing at a distant third.
Turning the tables
This particular chart does not paint the full picture, however. To better illustrate China’s impact on the market, it is necessary to look at data prior to September 2013. A year ago the dollar was the dominant currency, but that started to change in late 2013, as the volume of CNY transactions exploded.
In September 2013, approximately one CNY trade was carried out per three USD trades. At the moment, the situation is quite different, as CNY accounts for more than two thirds of all deals and on most days it outpaces the dollar by a ratio of at least 1:3.
It should be noted that BTC China launched USD and HKD trading accounts last July.
China’s impact on bitcoin
China’s effect on bitcoin prices and the network itself should not be underestimated. The nation is home to some of the biggest bitcoin exchanges on the planet as well as a number of industrial-scale mining operations.
However, China’s love affair with bitcoin comes at a price. Earlier this year the market was affected by a number of regulatory issues, namely rumours that the People’s Bank of China (PBOC) would ban the currency. Although operations were disrupted, the fears subsided in April, but not before the price took a dive in late March.
PBOC’s actions had a profound effect on domestic exchanges. Most survived and the three thrived, but the turmoil disrupted the balance of power and had a big impact on trust.
China-based exchange BTC China tweeted that a total of 71% of bitcoin trades last month could be attributed to yuan users – the Chinese market, in other words. Did you know 71% of #Bitcoin trades in past 30 days occurred in the #CNY market? Chart via bitcoinity http://t.co/MY3zwvX44D — BTC China (@btcchina) September 5, 2014 The […]