DBX, a South Korean cryptocurrency exchange, announced the establishment of its first foreign branch in China, a country that has banned the operations of local crypto exchanges.
As reported by local media, Money Today, the South Korean exchange received a temporary operating permit for its Chinese authorities last December. The company finally gained its registration certificate on February 5.
“The license to create a corporation is important to us because it was obtained from the authorities, which are opposed to foreign exchanges,” a DBX official said.
The exchange entered China as a part of its international operations. It is now planning to expand its footprint into the United States, Singapore, Indonesia and Cambodia.
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Despite the completion of business registration in China, the South Korean exchange is planning to start its operations in March under the brand Tabi. However, it is not clear what type of services the exchange will offer: if it will work in some blockchain development or something else.
China vs. Crypto
Once the largest cryptocurrency market, the local Chinese crypto communities’ dream shattered overnight when the government banned the sale of initial coin offerings (ICOs) in September 2017 and restricted the operations of crypto trading.
The Chinese government later clarified that though retail crypto trading is not permitted, handling of digital currencies as commodities are allowed. A section of Chinese people is now heading to over-the-counter (OTC) exchanges to trade crypto.
Meanwhile, the Chinese central bank is geared up to launch the digital version of fiat and is heavily testing the digital currency in real-world scenarios. The regulator partnered with several private players, and the local governments of many cities are giving away millions of dollars worth of digital yuan.