While the Chinese crypto space has taken some hits following China’s continued crackdown on trading and mining in the country, those who are involved in innovating and creating the local industry don’t seem particularly worried about crypto’s future in China.
China is continuing to enforce its ban on cryptocurrency inside its borders, and some companies appear to be responding in kind, with reports coming out that Alipay and WeChat have suspended trading on their platforms. On the other hand, crypto developers in the nation are all but thumbing their nose to the increased regulatory pressure, with Eric Meltzer, a partner at China’s largest blockchain fund InBlockchain, describing it as a ‘nothingburger.’
This Chinese ban on crypto events and crypto media is a complete nothingburger. China banned exchanges last year around this time, if you want a picture of how effective a media ban will be, have a look at the Chinese exchange scene 🙃— Eric Meltzer (@wheatpond) August 22, 2018
Meltzer went on to note that the Chinese ban on exchanges is a year old, and despite this the Chinese exchange scene is doing quite well.
Similarly, Chinese crypto developer Bobby Lee is not at all worried about the health of the crypto market, taking to Twitter to predict that bitcoin will trade at $60,000 with a circulation of $1 Trillion in the next few years.
When #Bitcoin passes the USD $60,000 price level in the coming years, it‘ll reach a total circulation value of $1 Trillion. That will be a huge #milestone for $BTC, and it‘ll lead to more price stability, higher global liquidity, and even faster adoption worldwide. #VirtuousCycle— Bobby Lee (@bobbyclee) August 24, 2018
Even the Chinese government doesn’t think cryptocurrency is going away any time soon. China’s Central Bank released a statement warning traders of cryptocurrency to be skeptical of cryptocurrency fundraising efforts in order to avoid fraud. An implicit takeaway from the statement is that crypto trading is not imminently in danger of disappearing from the Chinese economy.
It will be interesting to watch the situation in China seeing as how it very well may be that one of the countries which is most active in the cryptosphere has actually outlawed crypto trading within its borders.