China Crackdown On Bitcoin
After Bitcoin peaked in the year 2017, many have criticized the Chinese government for its decision to employ strict measures towards the innovation. The nation has also been hit with negative comments for being too restrained by cryptocurrency supporters.
But, there was a change in perspective after Michael Gu, the showrunner at crypto-centric media source BoxMining, held a discussion with Genesis Block’s head trader Charles. This discussion was held to get an insider’s view into Hong Kong’s domestic institutional crypto economy.
Surprisingly and contrary to prior opinion, on Charles’s analysis, the terms of Beijing’s Bitcoin regulatory actions was not bearish. Gu also asked Charles if Chinese investors play a major role in crypto’s latest downward trend.
Charles contradicted the claims about anti-Bitcoin regulations supposedly implemented and enforced by Beijing. He explained that Genesis Block maintains a healthy business relationship with the Chinese constituents and clients. He further explains that a lot of very high net-worth individuals have access to foreign accounts. Also, a working relationship with Genesis. This clearly shows that China’s crackdown on this recently formed industry has been “very shallow.”
According to Charles, the government’s action to ban crypto-related social media channels and physical events may sound harsh. In reality, China remains one of the world’s most liquid OTC-based cryptocurrency markets. The expert noted that this hasn’t been going on without the permission of the government.
Michael emphasized the point that the authorities are aware of the activities going on. The aim of the ban is to have fewer people willing to talk about Crypto in China. The cryptocurrency personality claims were also emphasizing by Charles. While it is difficult to measure exactly how much capital can route via OTC platforms, China & Korea are still huge markets.
Gu, the Genesis Block representative, also spoke about the current precarious conditions the crypto market is going through. He addressed the fact that a one to two-thousand BTC sell-side order, can affect the market quickly, majorly because of the lack of liquidity on many order.
Charles also acknowledged that Bitcoin Cash’s recent fork might have been a bear catalyst. The Genesis Block senior trader adds this is a great time to get some Bitcoin. Basically, bitcoins for those who missed out on 2017’s bull run.