Conflicting news about whether the Chinese real estate giant Evergrande defaults on overdue loans is in Bitcoin (Bitcoin) The price has plummeted recently.
Evergrande Group is China’s second largest real estate developer debt About 300 billion U.S. dollars. Some people worry that its collapse may trigger a broader financial crisis.
Two minutes after Evergrande’s payment was due, the Deutsche Market Screening Agency issued a announcement At 4 pm UTC on Wednesday, it indicated that it was preparing for bankruptcy proceedings against Evergrande.
Two hours later, at around 6 pm UTC, Bitcoin began a multi-hour callback to $62,800.
Media outlet Morning brew About 45 minutes later, it was reported that Evergrande failed to repay its outstanding debts due at 4 pm UTC on Wednesday, and breached the contract.Another 45 minutes ago Bloomberg A story was published saying that it did not.
The price stabilized at around $64,500 a few hours after the initial decline.At about the same time, Bloomberg reporter Alison McNealy Tweet“Contrary to what you might hear on the Internet, Evergrande did not default today.”
William Fong, a senior trader at Zerocap, an Australian crypto asset investment platform, told Cointelegraph:
“Hengda has not officially defaulted on any of its offshore debts in the international dollar bond market.”
“All in all, compared with Evergrande’s 300 billion U.S. dollars in outstanding debt, US$148 million is insignificant, but it does raise concerns about China’s state-owned enterprises’ US$100 billion in outstanding structural offshore bonds. [state-owned enterprises] And businesses,” he said.
Fang believes that the bailout for Evergrande will not come soon, because “Chinese regulators are the initiators that aim to over-expand the upper limit of developer leverage,” adding:
“This has created a potential risk of contagion in the entire real estate developer field and has expanded to financial institutions and industries that rely on this industry.”
Some people believe that the price of Bitcoin may also be at risk due to the stock market crash, and because of concerns about nearly half of Tether Reserve Composed of commercial paper, The total amount is close to 30 billion U.S. dollars. This is enough to make the Financial Times place The tether in the “global giant” in this category.
However, Tether has Refuse It holds any commercial paper of Evergrande, although it may be exposed to Chinese companies. Commercial paper is a type of corporate debt paper with a maturity date usually less than one year.