A new crypto-currency is gaining popularity in China with investors buying and selling it in an increasingly volatile market.
The news comes as China’s government pushes to boost the economy by encouraging the use of the country’s new crypto currency, called altcoin.
The currency, created in 2013 and now worth about $1,000, has been gaining popularity with investors as it trades for far less than other cryptocurrencies.
The Chinese government is trying to boost growth and curb inflation through a new law that allows people to sell cryptocurrencies at a higher price than bitcoin.
The government has encouraged companies to create cryptocurrencies to encourage the use and trading of the new coin, known as lba, or the “Litecoin” in China.LBA is now worth $1.4 billion (US$1.7 billion) and is being used to buy cars, jewelry and other goods, according to CoinMarketCap.com.
CoinMarketCap estimates that the average LBA price is $0.04.
China’s government is promoting the use, trading and trading in LBA, which was created in October and now has a market capitalization of about $4.7 trillion, to boost economic growth.
The law allows anyone to trade LBA with a bank account and make deposits and withdrawals.
China has been grappling with a slowing economy, with inflation reaching nearly 10 percent last year.
The lba coin gained traction with investors in China and was traded at around $1 per coin in the country.
But its value plummeted on Tuesday after the Chinese central bank announced that it would ban all cryptocurrency trading in the yuan for the coming year.
China is also banning bitcoin trading and bitcoin exchanges.
Lba is also trading for about three times its initial value.
Chinese state-run news agency Xinhua said on Tuesday that authorities had banned cryptocurrency trading.
The agency said that the ban had been extended to the capital city of Beijing.
It did not provide further details.
In China, the cryptocurrency market is also becoming more volatile.
It lost more than 70 percent of its value on Tuesday.
A currency trader at the exchange Bitfinex, which handles bitcoin and other digital currencies, said the cryptocurrency was trading at around 10 yuan (US:$0.07) on Tuesday morning.
The dollar is also surging against the euro, which has gained more than 3 percent against the Chinese currency.
The market for altcoins is expected to continue to rise as the Chinese government attempts to promote the new crypto coin, and investors continue to buy and sell the coin, according