Last updated on July 5th, 2022 at 01:38 pm
A Chinese state newspaper has issued a warning to investors that Bitcoin is headed to zero. The digital coin is hovering around $21,000 on Saturday. Last November, it topped $68,000. The economics lesson is clear: Buy low and sell high, but will Bitcoin truly go to zero? Read on to find out. Here are some of the biggest issues surrounding Bitcoin. And don’t worry, there is still time to get in on the Crypto Downturn.
Chinese state media
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As the cryptocurrency market continues its rapid decline, Chinese regulators have issued a warning to investors. They say the virtual currency market is ripe for illegal activities such as pyramid schemes, money laundering, and illegal fundraising. These activities threaten the economic order of China. They cite a statement from the People’s Bank of China that declares virtual currencies to be illegal and financial activities. Nevertheless, investors should be wary of these warnings. read more
A state-run Chinese newspaper, the Economic Daily, has warned that Bitcoin’s price is headed to zero due to the current global economic crisis. Bitcoin is currently hovering around $21,000 per digital coin, a sharp decline from its recent all-time high of $68,000 in November last year. Bitcoin traders can profit from the cryptocurrency market’s volatility by buying low and selling high. But Chinese state media warn that it’s too late to buy cryptocurrencies.
Shenzhen financial regulators
The Monetary Regulatory Bureau of Shenzhen recently issued a statement warning that cryptocurrency trading poses a risk to people’s safety, and that it is illegal in the country. This may pose legal risks to overseas staff of Chinese cryptocurrency exchanges as well as individuals and organizations that provide support to cryptocurrency trading. Last September, a few Crypto Downturn related businesses announced their withdrawal from China. The People’s Bank of China also published a note warning residents against cryptocurrency scams.
The crackdown on cryptocurrency exchanges has not dampened prices. However, a crackdown on cryptocurrency exchanges may have caused some companies to cut back on their investments in the cryptocurrency sector. In China, the government has failed to control users who circumvent government controls. Nevertheless, this crackdown on crypto exchanges does not affect the major exchanges in the country, such as Coinbase and Binance. PayPal does not offer any Crypto Downturn services in China.
Coinbase
A Chinese state-run newspaper has warned investors of a pending cryptocurrency price collapse. The report cites a recent failure by Three Arrows Capital to pay out $15,250 USDC. The company has since suspended all withdrawals. China’s government has also warned that crypto markets could go backwards, particularly if the currency’s value falls below US$20,000. However, the company has positioned itself as being resistant to storms robbing decentralized finance. read more
As the price of digital assets falls, so does the value of Chinese virtual currency miners. Before May’s crackdown, China accounted for nearly half of the world’s supply. But Chinese miners are moving their operations overseas. According to Christopher Bendiksen, head of research at digital asset manager CoinShares, the country will lose about $6 billion in annual Crypto Downturn mining revenue. He said the remaining mining regions are Russia, Kazakhstan, and the United States.
Roblox
Chinese state media report that Roblox, the world’s most popular children’s gaming website, is heading to zero, despite rising revenue in the first nine months of 2020. According to the company, revenue surged 68% to $588.7 million, but its net loss widened to $203.2 million, from $46.3 million a year earlier. Considering that Roblox has submitted its application to go public, this news is troubling news for the gaming company.
While Roblox is heading to zero, it’s important to remember that the Chinese market is vastly different than those of the US and European markets. While the global Roblox platform is interoperable with other gaming platforms, China’s platform is still an entirely separate universe. Tencent Holdings Ltd., the Chinese publisher of Roblox, has been on a hiring spree for developers, and has registered “metaverse”-related trademarks in China. Share your thoughts with the help of write for us.
