If China soon welcomes crypto: strong bullrun?

[MrSpasybo]

I don't see how anyone thinks China will unban crypto trading these years, it goes against everything China plans now with its economy.

China faces a real estate crisis, it needs approximately 2 trillion to prop up prices for its biggest economic sector, do you think it will allow money from private investors to go to a different sector not under their control? They need every penny to go back in housing, why allow it to go somewhere else?
Capital control, is the basic policy of China, they will never allow for a way to transfer wealth without having a tiny bit of control over it, how can anyone assume they will let the population have access to a thing then can send millions ina  flash outside their jurisdiction?

Besides, why would China want to let their people invest in assets that would produce billions of wealth for ETH holders in the US?

I think China could accept crypto because crypto is also a part of the economy. The growth of crypto can bring profits to investors and create optimism for the entire market. If China accepts crypto, investors can use their savings to buy crypto and the government will receive more taxes. This is more feasible than forcing people to invest in the stock market or real estate.

Crypto might have been banned in China because the Chinese government couldn't manage it, but the experiment in Hongkong could provide a lot of insights and experience to manage and profit from crypto. At the same time, crypto is a global market, China has the option not to participate or to participate later, but still benefit from the strong growth of crypto in the future.

[albon]

The use of cryptocurrency is not illegal in most countries so its status and usability as a means of payment or as a commodity varies with various regulatory implications. Suppose bitcoin is not directly accepted in my country but we do bitcoin transactions secretly. The number of users will increase when the government of my country makes it free for everyone. Then a lot of investors will grow from bitcoin which will cause the price to increase. So a country accepting bitcoin means a lot of investor growth which is definitely a plus point.

[Stompix]

I don't see how anyone thinks China will unban crypto trading these years, it goes against everything China plans now with its economy.

China faces a real estate crisis, it needs approximately 2 trillion to prop up prices for its biggest economic sector, do you think it will allow money from private investors to go to a different sector not under their control? They need every penny to go back in housing, why allow it to go somewhere else?
Capital control, is the basic policy of China, they will never allow for a way to transfer wealth without having a tiny bit of control over it, how can anyone assume they will let the population have access to a thing then can send millions ina  flash outside their jurisdiction?

Besides, why would China want to let their people invest in assets that would produce billions of wealth for ETH holders in the US?

I think China could accept crypto because crypto is also a part of the economy. The growth of crypto can bring profits to investors and create optimism for the entire market. If China accepts crypto, investors can use their savings to buy crypto and the government will receive more taxes. This is more feasible than forcing people to invest in the stock market or real estate.

You're making this sound like a money-printing machine, what happens when the value goes down?

Also, there are a couple of differences between people investing in real estate and crypto, you buy crypto and that's it, 50k per BTC goes into the pocket of a guy that is maybe outside the country, and you have capital outflow on top of that and unlike real estate, there is nothing else, there are;t jobs created in construction, jobs in the manufacturing of materials, expenses with those, and all the taxes from this.

Crypto is not a fix to the economy and the 5 trillion annually China has in real estate can't be compensated by people trading meme coins.

[doc]

The use of cryptocurrency is not illegal in most countries so its status and usability as a means of payment or as a commodity varies with various regulatory implications. Suppose bitcoin is not directly accepted in my country but we do bitcoin transactions secretly. The number of users will increase when the government of my country makes it free for everyone. Then a lot of investors will grow from bitcoin which will cause the price to increase. So a country accepting bitcoin means a lot of investor growth which is definitely a plus point.

Although Bitcoin is not directly accepted in a country, there are still many citizens who invest in Bitcoin this reality. Because the government also cannot prohibit those who are quietly surine in Bitcoin, because Crypto gives a financial freedom and we can do it in any way to invest there. In my opinion the government should accept Bitcoin and Crypto and want its citizens to invest there.

[Gurujebs]

Although Bitcoin is not directly accepted in a country, there are still many citizens who invest in Bitcoin this reality. Because the government also cannot prohibit those who are quietly surine in Bitcoin, because Crypto will gives a financial freedom and we can do it in any way to invest there. In my opinion the government should accept Bitcoin and Crypto and want its citizens to invest there.

Countries like USA and Mexican hate drugs and can jail any person for life if found hiotu of doing it but yet there are Cartels that still push drugs into these countries, they don't care what comes later but the drugs must enter and they are been distributed to clubs and many other places but Bitcoin isn't bad as this drugs, why wouldn't they buy and hold it.

Whether they like Bitcoin or not, it's a voluntary asset to buy without affecting the government and no side health effect. If they fear money laundering, they should legalized it and watch over any other potential fraudulent activities that are done through crypto, it's that simple.

[Jamal Aezaz]

Its population is indeed very high and there are quite a lot of enthusiasts about the existence of crypto. It is natural that China will have a very significant influence on the movement if China legalizes it again. You are right, it is not impossible that the demand for Bitcoin will increase sharply, which in the end, demand will be greater than supply, which will make the price increase sharply.
So we are waiting for the good news for a while and, hopefully, there will be no news that will actually make Bitcoin fall again when the good news comes, because the influence of news is very sensitive and could happen.

The number of people who are interested in Bitcoin investment is elevated every day so the number of people who are not aware of Bitcoin is very less therefore a day is not far when this little percentage will also accept Bitcoin.
 
Not only china but all other countries where there is no use of Bitcoin will understand its benefits so making it legal will not be difficult in the near future. The effect of each type of news is just for little duration as there are whales who make good use of such news and think about their benefit only so after making a huge sale or buy they can move the market situations in another direction about which people assume that the effect of news does not exist more.

[SamReomo]

Not only china but all other countries where there is no use of Bitcoin will understand its benefits so making it legal will not be difficult in the near future.

Not sure about other countries but I believe China has taken many strict steps against Bitcoin miners in past and they might not allow Bitcoin mining or trading in future as well.

I know that anything can change in future but Chinese government often take strict decisions and the citizens of the country has to follow those decisions.

Even if China allows Bitcoin mining and trading then again there's no guarantee that such thing will have very positive impact on crypto market in anyway.

[yohananaomi]

The use of cryptocurrency is not illegal in most countries so its status and usability as a means of payment or as a commodity varies with various regulatory implications. Suppose bitcoin is not directly accepted in my country but we do bitcoin transactions secretly. The number of users will increase when the government of my country makes it free for everyone. Then a lot of investors will grow from bitcoin which will cause the price to increase. So a country accepting bitcoin means a lot of investor growth which is definitely a plus point.

Although Bitcoin is not directly accepted in a country, there are still many citizens who invest in Bitcoin this reality. Because the government also cannot prohibit those who are quietly surine in Bitcoin, because Crypto gives a financial freedom and we can do it in any way to invest there. In my opinion the government should accept Bitcoin and Crypto and want its citizens to invest there.

What you say is a real reality that can indeed happen, and the ban cannot make the public unable to invest or even trade, because it can still be done.
So I agree, that with this, the country is actually disadvantaged because it cannot take advantage of it to be able to collect taxes from every transaction that occurs and can prosper and help the community with jobs from crypto. So the ban does not solve the problems that could occur but instead creates new problems that are not known.

[milewilda]

Knowing China to be  the biggest and wealthy country then it cant really be denied that once this country would be accepting or legalized Bitcoin then it would really be having that very positive sentiment on which it could cause up some positive effect but it wont really be that an assured thing because we've seen Bitcoin has been banned on China for how many times.
I dont know or wasnt aware if they had lifted it up already or still on the same state. I havent been able to see some news or i had just missed out if there would really be some considerations
been made out or they are still banning or prohibiting it. Although i dont really care much in this aspect though.

[TomPluz]

...there are a couple of differences between people investing in real estate and crypto, you buy crypto and that's it, 50k per BTC goes into the pocket of a guy that is maybe outside the country, and you have capital outflow on top of that and unlike real estate, there is nothing else, there are jobs created in construction, jobs in the manufacturing of materials, expenses with those, and all the taxes from this. Crypto is not a fix to the economy and the 5 trillion annually China has in real estate can't be compensated by people trading meme coins.

Add all the scams and frauds created by unscrupulous people using cryptocurrency as their medium of payments and exchange - to get away from the government authorities easily - and we saw China banned cryptocurrency as a whole. Although I don't agree with the government had done but I would not blame them as running after scammers and fraudsters can be costing a lot of resources on the part of the state and sometimes even the law and authorities can be inadequate to address the problem as scammers can get so creative with their wares. Cryptocurrency should not then be viewed as a replacement to the usual industries we already have, I am viewing this as an addition though admittedly there are so many speculations here and of course there are many people who got rewarded and those who lost money.

[doc]

What we have to remember is that China is the country that is most clever in economic or financial strategy. So I am sure that China will one day have a positive impact on crypto assets. It's just that they definitely make strict regulations about this. Like Japan, which also applies quite strict regulations and even crypto taxes there are very large. But I'm sure China will make regulations more accessible. But they won't rush into getting involved. It's just that their current direction is starting to become more crypto-friendly.

The high time we focus on making crypto friendly to other countries, the better and it will make bitcoin become scarce by the time they want to come back. By population, they are one of the biggest and by economy they control more margin of the world economy and if they one day left legalized crypto, it will help but come to think of it, this guys will not give any asylum to crypto because the US that was supposed to be strict are even friendly than China.

Before they use to be the hub of bitcoin mining until everything change in 2021 when they finally gave final ban and you see what this country does is very bad. They don't ban bitcoin when there is less noise, it's always when the price is high they ban crypto just for people to lose their profits and not have peace of mind, my mind is telling them to stay and not come close to bitcoin adoption.

Two big countries like the US and China should support crypto, because this is the advancement of digital technology. I am also sometimes surprised when I see China so strictly prohibiting crypto, even though many countries have legalized bitcoin as an investment. Maybe bitcoin mining is something they consider disturbing, but they should also think of bitcoin as an investment.

[pieppiep]

What we have to remember is that China is the country that is most clever in economic or financial strategy. So I am sure that China will one day have a positive impact on crypto assets. It's just that they definitely make strict regulations about this. Like Japan, which also applies quite strict regulations and even crypto taxes there are very large. But I'm sure China will make regulations more accessible. But they won't rush into getting involved. It's just that their current direction is starting to become more crypto-friendly.

The high time we focus on making crypto friendly to other countries, the better and it will make bitcoin become scarce by the time they want to come back. By population, they are one of the biggest and by economy they control more margin of the world economy and if they one day left legalized crypto, it will help but come to think of it, this guys will not give any asylum to crypto because the US that was supposed to be strict are even friendly than China.

Before they use to be the hub of bitcoin mining until everything change in 2021 when they finally gave final ban and you see what this country does is very bad. They don't ban bitcoin when there is less noise, it's always when the price is high they ban crypto just for people to lose their profits and not have peace of mind, my mind is telling them to stay and not come close to bitcoin adoption.

Two big countries like the US and China should support crypto, because this is the advancement of digital technology. I am also sometimes surprised when I see China so strictly prohibiting crypto, even though many countries have legalized bitcoin as an investment. Maybe bitcoin mining is something they consider disturbing, but they should also think of bitcoin as an investment.

When a country with great power and good financial condition then they will not be reckless in making a decision to provide support to cryptocurrency. They realize that cryptocurrency is very dangerous because it has no guarantee of always making a profit. So big countries like the two you mentioned, ma'am, seem more neutral and do not provide direct support. Even so, many people from these two countries still provide support to cryptocurrency by buying it.

[MrSpasybo]

You're making this sound like a money-printing machine, what happens when the value goes down?

Also, there are a couple of differences between people investing in real estate and crypto, you buy crypto and that's it, 50k per BTC goes into the pocket of a guy that is maybe outside the country, and you have capital outflow on top of that and unlike real estate, there is nothing else, there are;t jobs created in construction, jobs in the manufacturing of materials, expenses with those, and all the taxes from this.

Crypto is not a fix to the economy and the 5 trillion annually China has in real estate can't be compensated by people trading meme coins.

This is just one possibility for the Chinese government to consider as part of its efforts to support the recovery and development of the economy, especially as they don't want to be left behind in the crypto race. This can be confirmed by the permission to test crypto in Hongkong.

I think we cannot compare crypto with other industries in the economy because crypto is still just a financial tool as stocks. Accepting crypto can help the government reduce the pressure of rescuing the economy when people's attention is focused on crypto instead of other serious problems. The positive sentiment in the market can also stimulate economic growth through investment.

[Stompix]

I think we cannot compare crypto with other industries in the economy because crypto is still just a financial tool as stocks. Accepting crypto can help the government reduce the pressure of rescuing the economy when people's attention is focused on crypto instead of other serious problems. The positive sentiment in the market can also stimulate economic growth through investment.

Yes, but right now that investment is needed somewhere else and China desperately needs them, and the situation is so bad they are actually trying to stop people from finding out how bad it is
https://www.business-standard.com/world-news/chinese-stock-exchanges-to-stop-releasing-data-on-overseas-fund-flows-124081800618_1.html

Since they need money from these sectors, what good would come when money flows out of the country into the pockets of foreign owners of crypto? They will just buy and wait for a bull season that might now come and hope for profits. This is a take that would work for an individual trader, not a strategy for a multi-trillion economy.
All their eyes are fixed now on capital control, this won't change at a significant scale.

[bayu7adi]

Two big countries like the US and China should support crypto, because this is the advancement of digital technology. I am also sometimes surprised when I see China so strictly prohibiting crypto, even though many countries have legalized bitcoin as an investment. Maybe bitcoin mining is something they consider disturbing, but they should also think of bitcoin as an investment.

It seems not as easy as we imagine, that's because our thinking as small investors is certainly very different from that of a government regulator... there are many considerations that must be thought through carefully so that the economy of the related countries, such as China and the US, remains stable... besides that other considerations may remain confidential for the sake of national security... remember that each country is led by different leaders, has different plans and their perspectives on Bitcoin and cryptocurrency are certainly different... uniting the opinions of all countries is certainly not something easy to do regarding Bitcoin adoption.