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Can the crypto world be stopped or broken? Let's examine the case of China.

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@fabian98
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Hello everyone...

Since a few days ago we are seeing how the bitcoin has been recovering from the bloodbath that occurred in the market, which made the price hit lows this year reaching $28K. But we are seeing how it broke the barrier that kept it at $35K and now seems to have taken new support around $39K, and if we are of those who see with maximalist or positive eyes, we can see how bitcoin soon touches again its ATH of $64K and even surpasses it reaching up to $150K.

Now, regarding the price drop, many attribute it to Elon Musk and China with its prohibitive and regulatory measures, since as we know China closed and expelled hundreds of miners from the country in the hope that so they could break the crypto economy, and although they achieved something relative since by closing the bitcoin miners in China they managed to almost stop mining because the hash rate fell to historic lows. After all, China concentrated a large percentage of miners in its territory.

In addition to taking other measures such as banning exchanges and blocking them from web searches, they also arbitrarily closed bank accounts related to cryptocurrencies and social networks of influencers who promoted them, a fierce war to seek the end of cryptocurrencies in China and thus force people to seek the digital yuan as an alternative.

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But as in every history of totalitarian dictators, the oppressed people always look for a solution completely ignoring measures that are stupid and unnecessary, for example in Nigeria happened the same as in china and what did the government achieve with that? well, nothing, rather that people use cryptocurrencies to a greater extent since the naira lost value rapidly.

And also in China, these absurd and unnecessary measures only made the bitcoin network and cryptocurrencies in general only got stronger, since the Hash rate recovered very quickly, the P2P markets increased and the Asian exchanges are still in the lead, a mockery for the Chinese government and its financial authorities.

The Hash rate recovered very quickly.

Before China expelled miners from its territory the bitcoin hash rate was around 180 million on May 13, but after the persecution and shutdown of the world's largest bitcoin farms the rate dropped to a 2 year low of 84 million. But what did the miners do when they saw that they were banned in China, the source of cheap energy? Well, they migrated to other equally profitable countries such as Kazakhstan, Canada, and the United States. The hash rate recovered quickly in just one month, and so far the hash rate is around 110 million and rising.

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P2P marketplaces increased and trading activity was sustained.

When China banned cryptocurrency trading companies like Huboi and Binance they thought it would stop trading in the country or have an impact on the region. But they were very wrong because those same names Huboi and Binance got even more into the game and got the P2P system used to a greater degree and their trading activity kept up and increased every day. Since the Asian exchanges among them, Binance and Huboi are still in the lead with trades worth billions of dollars, far ahead of US-based exchanges like Coinbase.

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Conclusion

The crypto world is something that can no longer be stopped or broken with bans and regulations as many governments believe. and this system is unstoppable because cryptocurrencies give power back to the people and on this planet, many are being dominated and want to get out of this economic control, so cryptocurrencies, DeFi, NFT, crypto games will only grow, strengthen and expand faster every day that passes.

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Posted Using LeoFinance Beta