Cryptocurrency recovers, disaster strikes, and China’s crackdown shifts to other areas – Cointelegraph Magazine

This weekly news summary from China, Taiwan and Hong Kong attempts to plan the most important news in the industry, including influential projects, changes in the regulatory environment, and enterprise blockchain integration.

This was a turbulent week in China outside of the financial world. Serious floods hit Zhengzhou, and Typhoon In-Fa hit cities around Shanghai. To make matters worse, since the initial epidemic was controlled by strict anti-infection measures in early 2020, the COVID-19 Delta variant outbreak in Nanjing is now likely to destroy the relatively open lifestyle enjoyed by residents.

Shanghai City Skyline (Pexels)

Have a problem with heaven?

In China’s financial sector, the government’s supervision of technology and education companies sends The local stock market plummeted, This may have played an indirect effect on the sharp rebound in cryptocurrency prices. The reminder that regulators may suddenly hit an industry may damage the confidence of A-share investors, thereby pushing more funds to shift to alternative investments such as Bitcoin. In any case, the government has a lot to do, so cryptocurrency should not be a huge focus now.

Peddling rumors in advance

With the growth of Huobi and OKEx for the second week in a row, transaction volume definitely supports this trend. Despite rumors that the exchange may take more crackdowns, the regulatory situation has been calm. Both OKEx and Huobi’s platform tokens recovered significantly. HT, which has fallen by about 80% since mid-May, suddenly rebounded by about 45%, making investors question whether the worst regulatory actions have passed. If nothing else, rumors become more and more important at this point, which means that new announcements are no longer so scary.

As one of the catalysts for the news, Huobi hinted at their upcoming PrimePool, This should allow users to use HT or other tokens to mine tokens for new projects. Axie token AXS remains a popular trading asset because it has remained in the top five of Huobi for most of the week. NFT games have not really taken off in China, although projects such as Polygon are still actively promoting the meta-festival trend in the region.

Wipe the slate

On July 27, Huobi announced its entity in China DisbandedSince almost all business is moved overseas, this decision may be a step in the direction of disconnecting from Chinese regulators. Huobi stated that it is an entity that has been registered in Beijing since 2013 and is not the current operating entity of Huobi Global. According to the same article, OKEx also used the registered company before dissolving.

Since most of the miners and exchanges are now abroad and out of Beijing’s control, future policies can only really target the retail transaction and use of cryptocurrencies.Bobby Lee, who founded one of the earliest Bitcoin exchanges in China, discussed the possibility of a complete ban. He said It may happen in 4-5 yearsLee is now the CEO of the wallet company Ballet and is still an active figure in the cryptocurrency space.

Looking for a greener pasture

Binance’s CZ revealed In an interview In SCB 10X, he is looking for a new Binance CEO, and he hopes he has a “very strong regulatory background.” CZ first disclosed his resignation earlier this year. At that time, he expressed his hope to step down as CEO in the next two to five years and focus on developing the BNB and Binance smart chain ecosystem. Now he plans to “step down” It seems to be more accelerated.

Vitalik Buterin made a virtual appearance at the World Blockchain Conference (Source: Ben Yorke)

Happened in Hangzhou

From July 24 to 25, Hangzhou, a developing technology district, is the stage of the World Blockchain Conference. This is one of the large-scale events on the blockchain calendar, focusing on blockchain technology and technological development, and has been supported by the local government. Due to digital keynote speeches by speakers such as Vitalik Buterin and Sam Bankman-Fried, there was a lot of hype before this event. However, the approach of Typhoon In-Fa resulted in lower turnout and smoother activity. Buterin expounded his vision for the future of Ethereum and painted an ambitious picture of future development. Multiple projects held side events in Hangzhou, including leading DeFi wallet ImToken and smart contract protocol Avalanche.

Recharge with CBDC

Shenzhen residents can now use e-renminbi on buses and subways A story from People’s Daily OnlineEncourage citizens to actively use the central bank’s digital currency for so-called “green” travel on public transportation. Citizens scan the code in the local transportation app, and scan the code when entering and leaving vehicles or stations. At the same time, citizens can use e_CNY to recharge local travel cards.

This news will not be warmly welcomed by ASI President Rich Checkan, Who suggested earlier this week CBDC is “made by Satan himself in hell”. His tough remarks may be aimed at a country like China, where the government plays an important role in both financial institutions and technology.

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