Is this the Reason Why China is Scared of Cryptocurrencies like Bitcoin?
Crypto space is one of the fastest-growing technology with a rapid adoption rate over time. Now, the world has over 300 million potential crypto user base station. So, whenever things go beyond the control of China, the country has the habit of destroying them. The same thing here, China realised the fact that cryptocurrencies like Bitcoin could hit the mainstream soon. Therefore, China may be thinking of restrict the intensifying cryptocurrencies. But the rest of the world is ripping off China by accumulating more and more to their wallet.
As per the recent report from Santiment, after Chinese game play of ban, Bitcoin and other altcoins lost their value. China’s ban has become point of discussion and its social dominance factor recorded 7.44% of all the crypto-related discussions. No later the BTC price and other altcoins started to rebound, many investors hurting Chinese sentiments utilised this opportunity for huge crypto accumulation to their wallet.
Why is China Scared of Cryptocurrencies?
The Crypto industry is booming as countries stepping forward to make it as a legal tender. Crypto ownership rates are at an average of 3.9% and 18,000 businesses are already accepting cryptocurrency payments all over the world.
From 2012 to 2021, the BTC price rallied by 540,000%. With its spectacular performance in 2020, Bitcoin achieved 274% of annual growth rate. The cryptocurrency market is could grow with compound annual growth rate of 56.4% from 2019 to 2025.
Among 300 million user base, India tops the list with 100 million, followed by the US with a 27 million crypto user base. Popular analysts from the respective countries are coming up bashing China and urging countrymen to use this opportunity for bitcoin and other altcoin accumulation.
Moreover, crypto is slowly making its way to the rest of the industries. Close to 42 million gamers investing in cryptocurrencies. In the year 2020, the Gaming industry achieved a total market revenue of $321 million. Same the retail industries, remittance industries and many other industries have experienced significant growth.
As per the recent reports, amid growing crypto adoption, the Indian government formulated the new cryptocurrency bill. The details in the bill included that the officials are working on categorising virtual assets on the basis of how they could used for payments or investments.
However, industry experts say China’s ban on cryptocurrencies is likely because the country wants to cut down competitors to its digital yuan, a centralised virtual coin. The coin will be governed by Chinese government. But, BTC price and other altcoins run seem to be unstoppable.
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