As a result of the Chinese ICO ban, what happens to the world of cryptocurrencies?
The biggest event in the cryptocurrency world recently was the recognition of Chinese authorities for closing cryptocurrencies. As a result, BTCCina, one of the largest bitcoin exchanges in China, said it would cease trading at the end of September. This news cataloged sharp bitcoin (and other currencies such as Etherium) below the record highs reached earlier this month.
So cryptocurrency coaster racing continues. With Bitcoin rising from quadrupled to December 2016 to September 2017, some analysts predict that cryptocurrencies may recover last fall. Josh Mahoney, a market analyst at IG, says that cryptocurrencies' past experience will (perhaps) ignore these recent challenges.
However, these feelings will not come without opposition. Mr Dimon, director of JPMorgan Chase, said that bitcoin "will not work" and is "a scam … worse than tulip bulbs" (referred to as the "tulip mania" of 17th-century Netherlands), the world's first speculative bubble. it is. "He said he would fire employees who were stupid enough to trade Bitcoin.
Aside from speculation, what's really going on? Since China's ban on ICOs, other leading economies in the world are taking a fresh look at how the crypto-world should be regulated / what is happening in their regions. Instead of banning ICOs, other countries still know the technological benefits of cryptocurrency and control the market without completely stifling currency growth. The main problem for these economies is to figure out how to do this, since the alternative nature of cryptocurrencies does not allow them to be classified under traditional investment asset policies.
Some of these countries are Japan, Singapore and the US. These economies want to set accounting standards for cryptocurrencies, especially money laundering and fraud management, which have increased due to crypto technology. However, most regulators know that they have no real benefit because of the economic flows that lead to the complete ban on crypto currencies. Also, it's probably almost impossible to shut down the crypto world while the internet exists. Regulators can focus only on areas where they may be able to exercise some control, and this seems to be in places where cryptocurrencies are filled with fiat currencies (i.e. cryptocurrency exchanges).
As time goes on, cryptocurrencies seem to be undergoing further scrutiny, as such events benefit some countries such as Hong Kong. Since the Chinese ICO ban, many creators of cryptocurrency projects have been pushed from the peninsula to the city. Aurelian Menant, CEO of Gatecoin, said the company had "received a lot of inquiries from the creators of the blockchain-based project on the continent" and noted the increase in Chinese customers registered on the platform.
Looking a little further, companies like Nvidia have expressed positivity in the face of the event. They claim that this ICO ban will only burn GPU sales, as the ban is likely to increase demand for cryptocurrency-related GPUs. Because of the ban, the only way to get crypto currency with GPUs is to undermine these with computing power. For this reason, people who want to get cryptocurrencies in China need to get more computing power, rather than making direct purchases through exchanges. Basically, Nvidia's feelings are that this is not for crypto-spiral cryptography; other industries will also receive a boost.
In light of all the cryptocurrencies and all the controversies around it, technology integration is taking place in global economies. Whether or not you believe in the future of technology, or think it is a "fraud that will spark", the cryptocurrency rollercoaster is worth your attention.