Crypto-linked stocks plunge in Hong Kong, bitcoin steadies

Representations of cryptocurrencies Bitcoin and Ethereum are positioned on PC motherboard in this illustration taken, June 29, 2021. REUTERS/Dado Ruvic/Illustration

HONG KONG/SINGAPORE, Sept 27 (Reuters) – Cryptocurrency-linked stocks dropped in Hong Kong on Monday morning, after Chinese authorities intensified their crackdown on the trade, whereas main cryptocurrencies steadied.

Shares of crypto asset supervisor and buying and selling agency Huobi Tech (1611.HK), an affiliate of Huobi Global, one of many world’s largest exchanges, fell greater than 30% after the opening bell.

Huobi Global stated on Sunday it had stopped taking new mainland clients from Friday and would shut accounts belonging to mainland-China based mostly purchasers by the top of the yr to adjust to native laws. learn extra

China’s regulators intensified a crackdown on Friday, banning cryptocurrency transactions and mining, and saying that abroad exchanges are barred from offering companies to mainland traders by way of the web and that mainland-China based mostly staff of abroad crypto exchanges can be investigated.

OKG Technology Holdings Ltd (1499.HK), a fintech and building firm majority owned by Xu Mingxing the founding father of cryptoexchange OK Coin, fell greater than 20%.

However, cryptocurrencies traded firmly on Monday, having rebounded from promoting pushed by the Chinese crackdown as buy-the-dip speculators swooped in.

Bitcoin was up about 2.4% in Asia commerce at $44,250, having fallen to only beneath $41,000 in the wake of Friday’s announcement of a blanket ban on crypto mining and transactions in China – probably the most wide-ranging clampdown but. learn extra

Rival token ether rose 3% to $3,163 and has recouped its Friday losses.

Reporting by Tom Westbrook in Singapore and Alun John in Hong Kong; Editing by Muralikumar Anantharaman and Jacqueline Wong

Our Standards: The Thomson Reuters Trust Principles.

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