Major Platforms Upgrade Anti-Money Laundering Systems as Bitcoin Prices Rally
China's three largest Bitcoin trading platforms—Huobi, OKCoin, and BTC China—resumed Bitcoin withdrawal services on May 31st after completing four months of regulatory inspections and system upgrades. Following this development, Bitcoin prices surged approximately 25% across all platforms, nearing the ¥18,000 threshold.
Key Developments:
- Withdrawal Limits: Platforms implemented phased withdrawal resumptions with daily limits (e.g., 20 BTC on OKCoin, 50 BTC on Huobi)
- AML Enhancements: Stricter customer verification processes, including video authentication for withdrawals over ¥100,000
- Market Response: Increased liquidity sparked short-term volatility, with network congestion causing delayed transactions
Regulatory Framework Takes Shape
The People's Bank of China (PBOC) is finalizing two critical Bitcoin management measures:
- Trading Platform Regulations
- Anti-Money Laundering Standards
👉 Learn how evolving regulations impact crypto markets
Expert Perspectives:
- Deng Di (China Blockchain Research Center): "Regulators aim to balance risk control with innovation space for emerging technologies"
Deng Jianpeng (Fintech Legal Researcher): Recommends:
- Segregation of client funds/assets
- "Regulatory sandbox" approaches
- Third-party custody solutions for digital assets
FAQ: Understanding the Changes
Q: Why did platforms suspend withdrawals earlier?
A: PBOC required upgrades to AML systems and operational compliance during inspections.
Q: How do new AML measures affect users?
A: Expect enhanced identity verification, including video authentication for large withdrawals.
Q: What's the long-term market outlook?
A: Clear regulations may stabilize prices, though global factors remain influential.