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The Chinese ban is irrelevant to BTC, says MicroStrategy chief Michael Saylor

3 min read

 

As you probably know, China has strengthened and almost everything related to cryptocurrency is now banned in the country under threat of punishment. However, Michael Saylor says that nothing changes for BTC as such.

Chinese ban will not affect BTC, says Saylor

In a new interview, MicroStrategy CEO comments on recent events in China with Bill Barhydt, CEO of Abra’s cryptocurrency management company. Michael Saylor says he was an early shareholder in Google, Facebook and Twitter. He says he wasn’t bothered by Chinese regulations then and has no plans to do so now.

“If you dropped Google, Facebook and Twitter shares in 2010 because you heard China would ban it, you would lose obscene amounts of money. Trillions of dollars have been made on technologies banned by China. I think what China is doing is largely irrelevant here, and of course it’s kind of funny, because like every quarter for the last five, six, seven years, there’s something that China has banned. “

Recall that China last week strictly outlawed cryptocurrency activities, such as conducting transactions, but also crypto-exchange work. All this can now lead to punishment in communist China. In a document signed by many state institutions, the Chinese government cited fraud and other illegal activities associated with cryptocurrency as justification for the intervention.

In fact, China has been regularly banning cryptocurrencies for several years, which may act as a deliberate manipulation of the price using traditional FUDs. However, these are not fake news, but in many cases they are real events that have a severe impact. We have all felt this year’s mining ban and miners fleeing China, which until then had concentrated the majority stake in the BTC hashrate.

However, Saylor says that he is not concerned about the impact of these steps on BTC as such, resp. on the BTC price in the long run. It further suggests that the long-term horizon is the only thing that matters, because if investors are not willing to hold Bitcoin for ten years, they should not hold them for even 10 minutes.

The positive side of things

Not only in China, but also in the US, regulators frighten newcomers to the market and raise certain concerns in the minds of experienced investors. Saylor, as head of the largest public company MicroStrategy, thinks that the US approach to the largest cryptocurrency is largely positive.

“Actually, I think when you look at every statement from a central banker or regulator, they’re pretty clear: BTC is an asset. BTC is a commodity… Actually, I have not seen any regulator discuss that BTC is a digital store of value…

Digital ownership in the form of Bitcoin is not really questioned. If you looked at the Senate hearing last week, there was a broad consensus. Every single senator, their body language and what they said, indicated that they supported Bitcoin and the crypto-industry in general. Everyone just wants it to be properly regulated, and I think the regulators have agreed. “

Conclusion

Michael Saylor sees the regulatory storm positively. According to him, it is basically irrelevant and to some extent ridiculous how often China approaches bans on many things, including technology. According to the head of MicroStrategy, BTC as such, the latest wave of cryptocurrency bans in China as such will not lower its price in the long run. He is even positive about US regulations, saying local regulators and politicians have no plans to stop BTC.

… Do you think such optimism is appropriate?

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