What happens to the cryptocurrency world after the ban on the Islamic Conference in China?
The biggest event in the cryptocurrency field was recently the exchange that the Chinese authorities announced to close cryptocurrency (UBTC Wallet Fork). Therefore, BTCChina is one of the largest bitcoin exchanges in China and announced that it will cease operations at the end of September. The news gave birth to a massive sell-off, causing Bitcoin (and other currencies such as Etherium) to fall by about 30% from historical highs earlier this month.
Therefore, the roller coaster of cryptocurrency continues. Given that bitcoin growth has more than quadrupled from December 2016 to September 2017, some analysts predict that cryptocurrencies may resume their recent downtrend. IG’s market analyst Josh Mahoney said the past experience with cryptocurrencies “tells us [may] give up these latest challenges.”
However, these feelings are not without objection. Dimon, CEO of JPMorgan Chase, said that Bitcoin “is not working” and said: “This is a scam… Than the tulip (referring to the snow in the 17th century, the tulip frenzy) is considered to be the world The first speculative bubble… this will explode. “He even said that he would dismiss the employee’s stupid trading bitcoin.
Putting aside the guess, what happened? Since the ICO ban entered China, the world’s other major economies are re-examining how the world of cryptocurrencies should be regulated in their respective regions. Other countries still recognize the technological advantages of encryption technology and try to control the market without completely curbing monetary growth, rather than prohibiting ICO. The biggest problem facing these economies is figuring out how to do this because the alternative nature of cryptocurrencies does not allow for classification based on traditional investment asset policies.
Japan, Singapore and the United States belong to these countries. These economies are trying to establish accounting standards for cryptocurrencies, primarily to manage money laundering and fraud, which are becoming more difficult to determine due to encryption technology. However, most regulators recognize that the complete ban on cryptocurrencies does not seem to have any real benefit due to economic flows. In addition, it may be impossible to turn off the encrypted world as long as the Internet exists. Regulators can only focus on areas where some kind of control can be applied, which seems to be the case when cryptocurrencies encounter trust currency (ie currency exchange).
Although cryptocurrencies appear to be subject to scrutiny over time, these events have benefited some countries such as Hong Kong. Since the ban of the Islamic Conference of China, the founders of many cryptocurrency projects have been expelled from the mainland to the city. Ollerian leading CEO Gatecoin said that the company has received “a large number of inquiries based on the mainland to create a blockchain project” and has had a significant increase in the number of customers in China to register on the platform.
Looking further, companies like Nvidia have expressed a positive attitude towards this incident. They claim that the ICO ban will only boost sales of their GPUs, as the ban may increase demand for cryptocurrency GPUs. With the ban, the only way to get cryptocurrencies generated by GPUs is to take advantage of the computing power you need to take advantage of them. Therefore, those seeking to obtain cryptocurrencies in China now need to have more computing power than buying directly through the exchange. Nvidia’s feelings are basically not a hellish spiral for cryptocurrencies; in fact, other industries will also be upgraded.