Bitcoin (BTC) maximalist and Ballet CEO Bobby Lee not too long ago discussed the implications of China’s ongoing crackdown on cryptocurrency. Regardless of the federal government’s help for a digital renminbi, Lee steered that Beijing has little interest in nurturing the cryptocurrency business.
Contemplating his collisions with the Chinese language authorities throughout his stint in working China’s first crypto exchange BTCChina, Lee stated:
“It (China) needs to control (cryptocurrencies) to realize its overarching objective of globalization of digital RMB.”
He additional said that the Chinese language authorities shouldn’t be taking care of the huge crypto exosystem that exists within the area. Stressing on the wait-and-see method, Lee highlighted that 2017 marked the beginning of elevated regulatory scrutiny, and at this tempo, “I do worry that in 4-5 years, the nation may outright ban it (cryptocurrency).”
The federal government’s latest ban on crypto mining and associated buying and selling appears to be aimed toward deterring residents from getting closely concerned in high-risk investments given the increase in buying and selling volumes. Including to this thought, Lee stated:
“Bitcoin shouldn’t be a direct competitors to the digital yuan. I don’t assume that the cryptocurrency business will endure from China’s pullback.”
Bitcoin’s decentralized world community has led Lee to imagine that China’s stance in accepting or banning cryptocurrency won’t have an effect on the Bitcoin or crypto market in the long term. To assist viewers make sense of Elon Musk’s latest transfer in direction of Bitcoin adoption at Tesla, the seasoned entrepreneur hopes to see extra Fortune 500 corporations in 2021 add extra Bitcoin and cryptocurrency holdings to their present portfolio.
Lee believes that the ultimate straw at this second can be banning cryptocurrency and Bitcoin altogether. However contemplating the involvement of mainstream companies together with ever-increasing authorities initiatives, China continues to limit its in-house crypto enterprise operations whereas permitting people to carry and commerce Bitcoin.
Owing to China’s latest crypto rules in opposition to dangerous buying and selling, crypto companies have began taking proactive steps to remain related within the ecosystem. As per CT’s recent report associated to this improvement, FTX introduced to restrict its buying and selling leverage to 20x, which was beforehand standing at 101x.