Last time i checked BTCChina seemed to be working fine. There have even been periods when they lead the price.

Apparently Chinese gold farmers still operate publicly today. I don't think this is an issue.

I'm 99% certain if bitcoin became too popular in China the government would clamp down hard enough that very few Chinese citizens would get involved in bitcoin.

It's true that you can't really get rid of a p2p thing like bitcoin, but the governments control over the internet in China combined with a willingness to enact hash penalties would effectively kill any chance of bitcoin ever flourishing within China.

It's sad really, hopefully someday things improve in China but I don't see it happening anytime soon.

The Chinese don't have an option not to care. Because of this - http://en.wikipedia.org/wiki/Capital_punishment_in_China.

Apples and oranges.

I don't think you realize the strength the Chinese government has in China and how quickly and how hard they can crack down on something and how common it is for most citizens in China to know to dare not challenge it.

In America we can speak out against anti piracy laws and torrents, we can hold massive protests if we wanted to. We can call in and flood congress with our views and desires.  In China you can't.

In China they can and do arrest/torture/and kill people for going against the government. It would be all to easy for the govenrmetn in China to say bitcoins undermines the government and throw someone in prison for life or worse if they engage in bitcoin. And you know what, most Chinese people would have no choice but to accept that due to the fact that few people want to risk those type of punishments.

It is  
I thought the illegal part applied to copyrighted stuff mostly  

Although I live in China I'm not  Chinese citizen. I know there's quite a few Chinese citizens on this forum though and maybe the could explain better (or maybe the choose not to)  but I'm fairly confident that it Bitcoin became too popular in China the government would use their Supversion of State power laws.

Read up here:  http://en.wikipedia.org/wiki/Subversion#China


That's something Bitcoin would certianly fall under if it became too popular.  And that's a crime few Chinese citizens are willing to activly commit.

I do believe strongly that China could/will kill bitcoin in China if it becomes to popular.  People who say it's not possible because it's p2p technology don't fully understand how much control and power the government has in China.

I think it will depend on how useful Bitcoin is to the Chinese (or any) government.

Gold farming/WoW gold is not at all useful to them.

Bitcoin though, thats a pretty good way to send bribes and otherwise move corrupt money around.

I concede my lack of domain knowledge pertaining to the Chinese government's actual power inside their country. That said, they are neither omnipotent or omniscient - cracks exist, and they will be found. Passionate individuals will find ways around limitations. This may limit adoption, perhaps even severely, but it cannot completely stop it - and if the rest of the world accepts Bitcoin, China's hand will be forced, or economic damage of unimaginable magnitude will ensue.