Sichuan requires to completely shut down the mining of virtual currency and take drastic measures - power off! Before finishing, the People's Bank of China interviewed some banks and payment institutions, such as ICBC, Agricultural Bank of China, China Construction Bank, Postal Savings Bank, Industrial Bank and Alipay (China) Network Technology Co., Ltd. All banks and payment institutions must strictly implement the regulatory provisions such as the Notice on Preventing Bitcoin Risks and the Notice on Preventing Token Issuance Financing Risks, earnestly fulfill the obligation of customer identification, and shall not provide products or services such as account opening, registration, trading, clearing and settlement for related activities. All institutions shall comprehensively investigate and identify the capital accounts of virtual currency exchanges and OTC dealers, and timely cut off the payment link of transaction funds; It is necessary to analyze the capital transaction characteristics of the speculation activities of virtual currency transactions, increase technical input, improve the monitoring model of abnormal transactions, and effectively improve the monitoring and identification ability. Coincidentally, during an activity, an expert who has a lot of research on virtual currency and token settlement and payment told me that because of the active OTC transactions on the platform at present, that is, to find a trading partner on the virtual currency network platform, one-on-one trading, the platform is only responsible for settlement and cash in and out. After this interview, if the only way to provide funds transfer for payment and settlement is also blocked, it will basically leave virtual currency without any soil for survival in China. In addition, there may have been problems with those who have already paid a large amount of money, and whether they can be realized by selling coins.
Will the global cryptocurrency die with the heavy blows of local governments and regulators? Will speculators give up? How big is the global impact of China's de mining? Will Bitcoin prices jump off the cliff? A series of questions need to be answered urgently.
The influence of Bitcoin price is a double-edged sword. From the perspective of public opinion and power cut measures, the policy of eliminating cryptocurrencies is certainly Italian. This negative situation has been reflected. On Tuesday (2021.06.22), Bitcoin fell deeply due to the increased attack on cryptocurrency by the People's Bank of China, once falling below $29000 per coin, and fell about 12% in 24 hours, wiping out the increase this year.
However, from the perspective of economics, from the perspective of pure market supply and demand, Chinese miners have always played a leading role in the global Bitcoin mining network. Several authoritative data show that, almost two years ago, the computing power of Chinese mines accounted for 65% of the computing power of the whole Bitcoin network. After this computing power is cut off, the supply of Bitcoin market will be cut in half. If the demand remains unchanged, the price should rise. After a short slump, Bitcoin began to bounce back. On Tuesday, it fell about 12% in 24 hours, erasing the increase of this year, and then continued to rebound, standing at $33000/piece. On Wednesday (2021.96.23), cryptocurrency continued to reverse its decline. Bitcoin continued to rebound overnight, rising nearly $1200 in the short term, reaching $34000 per piece, an increase of 4.2%. The cryptocurrency Ethereum also returned to $2000 each, up nearly $300 from a 24-hour low, an increase of 6.2%.
The biggest weakness of Bitcoin is that there is no commodity transaction or value anchor that the market believes. In addition, over speculation and speculation in recent years have broken away from the original international monetary goal designed by Nakamoto and become a work of financial speculation. This is the most fatal. Therefore, the state's continuous restrictions on bitcoin mining and trading are a protection for everyone. Must affirm and support.
Some market players are still supporting Bitcoin. The trend curve of Bitcoin over a long time span shows an obvious upward trend. In addition, there is an obvious feature of the trend of Bitcoin. After each retreat, there will be a wave of stronger upward momentum, which means that the overall return rate of Bitcoin is quite rich, as long as you can buy the right point.
It is not difficult to find that recently more and more financial leaders have turned to Bitcoin. For example, concerns about the upcoming global debt crisis have made Dario, the founder of Bridgewater Fund, change from suspecting Bitcoin to dabbling in Bitcoin. The "mutiny" of the big short Dario is very embarrassing for the short sellers in the cryptocurrency market and the regulatory authorities. Is it because of the profit goal that bitcoin pursues, or because of the hope that cryptocurrency gives finance from the perspective of technology, financial market conditions, and international currency disappoints the market? This is really unknown.
Can Bitcoin continue to invest? I have repeatedly stressed that it is an investment market for large capital such as Musk, and ordinary investors should never involve it. In China, large capital should also obey the regulatory policy and cannot take the risk of regulatory policy. From the perspective of the international market, since big capital in the cryptocurrency market has the courage to take risks, strong capital, and risk tolerant investors, as long as they step on the right points of big ups and downs, there is no problem to obtain a certain income. The premise is that it must comply with the local regulatory rules and regulations. Policy risk is a factor that must be considered.
If Bitcoin returns to its original international monetary goal, there will be no problem of speculation for a period of time. Right should be a process of promotion and publicity. Otherwise, no matter how big the capital of Bitcoin is, the future will not be good.
2021.06.23
