July 15, 2024
By Anjali Kochhar
Bitcoin and other major cryptocurrencies, such as Ethereum and XRP, have seen tremendous volatility in an ever-changing crypto ecosystem. Bitcoin’s price has dropped about 20% in the last month, falling from a high of more than $70,000. This dip comes after Federal Reserve Chair Jerome Powell issued a serious warning, raising concerns about a possible market meltdown.
Amid this turbulence, speculation intensified when a tech billionaire hinted at potentially following in the footsteps of MicroStrategy and Elon Musk’s Tesla by investing in Bitcoin. Adding to the intrigue, crypto entrepreneur Justin Sun recently announced that China might be on the brink of a significant policy shift regarding Bitcoin and other cryptocurrencies. Sun, the founder of the Tron blockchain and cryptocurrency, underscored the importance of his recent legal triumph in China.
In an interview, Sun emphasised, “I think the mainland China legal battle win is very important because a lot of the rumors spread on the misunderstanding of the mainland China legal policy interpretation.” Sun, who also owns the crypto exchange Poloniex and serves as an influential adviser to the exchange HTX, recently secured a court victory in China against Chongqing Business Media Group. The court ruled that allegations from a March 2022 article in The Verge, which claimed Sun was under FBI investigation and suspected of insider trading, were “entirely unsubstantiated.”
Last week, Sun took out a paid advertisement in the crypto industry publication Blockworks to publicise his legal victory. He remarked, “This is a big win not only for me but for the industry itself because cryptocurrency has long been seen as a grey area in China.” Sun believes the court’s decision has granted some legitimacy to the crypto sector in China, which could pave the way for more favourable policies in the future.
China’s 2021 ban on Bitcoin, which prohibited the trading and mining of cryptocurrencies like Ethereum and XRP, led to a sudden crash in Bitcoin’s price at the time. However, Sun’s legal victory suggests that China might be reevaluating its stance on cryptocurrencies. Sun asserts that this could mark a pivotal moment for the industry, potentially opening doors for broader acceptance and integration of cryptocurrencies within the Chinese market.
As the global crypto community closely watches these developments, Sun’s victory and the possible policy shift in China could have far-reaching implications for the future of Bitcoin and other digital assets. This potential turnaround in one of the world’s largest markets could inject new momentum into the cryptocurrency space, highlighting the dynamic and ever-changing nature of the digital economy.
About the author
Anjali Kochhar covers cryptocurrency stories in India as well as globally. Having been in the field of media and journalism for over three years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.
