Chinese Bitcoin exchange focuses on cash transactions to keep cryptocurrency in play

China has been moving to force banks to cut ties with Bitcoin exchanges

Chinese banks may be cutting ties to Bitcoin suppliers, but that isn't stopping a local Bitcoin exchange from making physical cash a way to buy the cryptocurrency.

On Tuesday, BTC China, one of the nation's largest exchanges, took a step to establish its own Bitcoin sellers network with the launch of a new web app, called "Picaso ATM".

By using the app, the exchange's own clients can sell their bitcoins to customers.

BTC China is advocating sellers set their own profit margins and get cash in return. To complete transactions on the app, the sellers must meet face-to-face and input confirmation codes through their smartphones. The bitcoins are then transferred over to the customer's account on BTC China's exchange.

Although the cash approach may seem outdated, China has been moving to ban banks and third-party payment services from dealing in bitcoins. Buying the virtual currency could once be done by wiring funds to an exchange's bank account. But starting this month, certain banks have begun closing the corporate accounts used by several exchanges.

While the ensuing crackdown hasn't affected all, it's put pressure on Bitcoin suppliers to come up with new ways to keep the virtual currency in circulation.

In BTC China's case, the exchange's bank accounts are still in operation, but the company's sees promise in using cash transaction to popularize Bitcoin among Chinese users.

Despite the nation's strict stance on Bitcoin, authorities have said consumers are still free to buy the virtual currency.

"We do want to create a seller network, but we also simply want to help facilitate the ease at which people can acquire Bitcoin," BTC China said in an email.

On Tuesday, the exchange also unveiled what it claimed was the country's first physical ATM Bitcoin machine. It is located in a coffee shop based in Shanghai.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags governmentregulationinternetfinancee-commerceindustry verticalsBTC China

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Michael Kan

IDG News Service
Show Comments

Cool Tech

Toys for Boys

Family Friendly

Stocking Stuffer

SmartLens - Clip on Phone Camera Lens Set of 3

Learn more >

Christmas Gift Guide

Click for more ›

Brand Post

Bitdefender 2019

This Holiday Season, protect yourself and your loved ones with the best. Buy now for Holiday Savings!

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Aysha Strobbe

Microsoft Office 365/HP Spectre x360

Microsoft Office continues to make a student’s life that little bit easier by offering reliable, easy to use, time-saving functionality, while continuing to develop new features that further enhance what is already a formidable collection of applications

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?