Bitcoin—along with other major cryptocurrencies ethereum and XRP—have swung wildly as “extreme fear” risks crashing the market futher.
The bitcoin price has lost almost 20% over the last month, crashing back from its recent highs of over $70,000 per bitcoin as Federal Reserve chair Jerome Powell issues a “critical” warning.
Now, after a tech billionaire sparked wild speculation he could follow MicroStrategy and Elon Musk’s Tesla into bitcoin, crypto entrepreneur Justin Sun has said China is poised to flip on bitcoin and crypto, calling his recent legal victory in China “very important.”
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China’s president Xi Jinping has overseen a broad crypto crackdown over the last few years that’s … [+]
“I think the mainland China legal battle win is very important because a lot of the rumors spread on the misunderstanding of the mainland China legal policy interpretation,” Sun, who founded the tron blockchain and cryptocurrency, told The Block.
Sun, who is also owner of the crypto exchange Poloniex and an influential adviser to the exchange HTX, won a court victory in China against Chongqing Business Media Group last month. The court found allegations—mostly made in a March 2022 piece in The Verge—that Sun was under investigation by the FBI and was suspected of insider trading to be “entirely unsubstantiated.”
Last week, Sun took out a paid ad in the crypto industry publication Blockworks to spread the news of his legal victory.
“This is a big win for not only for me but for the industry itself because cryptocurrency has been long been seen as a grey area in China,” Sun said, adding the court in China has given some legitimacy to crypto.
China’s 2021 bitcoin ban that made the trading and mining of cryptocurrencies including ethereum and XRP illegal, triggered a sudden bitcoin price crash at the time.
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The bitcoin price has rocketed over the last year but has recently slipped, dragging down the price … [+]
Last month, bitcoin and crypto investor Brock Pierce predicted it’s only a matter of time before China reopens its digital doors to crypto.
“Is China going to open up [to crypto]? … I’d say it’s inevitable,” Pierce, a former child actor who cofounded the USDT dollar-pegged stablecoin issuer Tether in Hong Kong a decade ago, told the South China Morning Post. “The question is not so much if, it’s a matter of when.”
In May, attendees of a Hong Kong bitcoin conference sparked speculation the much-hyped Hong Kong spot bitcoin exchange-traded funds (ETFs) could eventually be opened up to mainland China investors.
