China’s First Central Bank Governor in 15 Years Likes ฿itcoin

The People’s Bank of China, the nation’s central bank, has a new governor, its first in 15 years. His name is Yi Gang (60) and judging by his previous comments, he is perfectly okay with cryptocurrency. His positive stance towards ฿itcoin and other cryptos bodes well for their future within China.

On March 19, China’s National People’s Congress voted to approve President Jinping’s nominee to oversee the People’s Bank of China (PBoC.)

The appointment was not a surprise, for Yi Gang was already serving as deputy governor.

The Beijing-born official is believed to have taken up his position with immediate effect.

Zhou Xiaochuan, who stepped down from the role, was widely seen as a liberal governor, and it’s likely that Yi Gang will continue where his predecessor left off.

Yi Gang has previously spoken positively about ฿itcoin, going so far as to call it “inspiring” or “enlightening” in an address made in 2013. He appears to have been happy for Chinese citizens to engage in the buying and selling of ฿itcoin online, regarding it as a distinctly separate activity from trading currency. When speaking to the G20 summit in 2016, Yi also spoke positively about blockchain technology.

A Progressive for a New Era?

“It seems that the incoming governor Yi Gang is more crypto progressive,” noted Youtuber “Boxmining” giving his thoughts on the appointment. As governor of the world’s largest central bank based on asset holdings, Yi Gang is sure to be careful about how he chooses his words from now on. A ringing endorsement of crypto currency is unlikely. Even a laissez-faire approach that enabled bitcoiners to play their trade without government intervention would herald good news for China and for the global crypto economy.

Do you think Yi Gang’s appointment means good news for ฿itcoin’s legal status in China? Let us know in the comments section below.

Bitcoin to Hit $50,000 Despite Recent Plummet, BitMEX CEO Says

The recent downward spiral of Bitcoin hasn’t dissuaded Arthur Hayes from his bullish prediction that Bitcoin will hit $50,000 by the end of the year. Hayes, the co-founder and CEO of Bitcoin Mercantile Exchange (BitMEX), said that volatility is not Bitcoin’s weakness but rather its strength, as it gives investors the chance to make money as its price changes. Bitcoin is only one positive announcement away from breaking its previous record high price and going on to hit $50,000, Hayes claimed, stating that the approval of ETFs by the SEC would be among the most important announcements that could change Bitcoin’s fortunes.

In March, Hayes boldly predicted that Bitcoin would hit $50,000 by the end of the year. At the time, Bitcoin was trading at $9,400 but has since dropped to just over $6,500. This hasn’t fazed Hayes, whose BitMEX is one of the largest crypto trading platforms with a daily volume that exceeds $2 billion. The plummeting prices that have rocked the market this year are natural and expected, Hayes stated.

I THINK THAT SOMETHING THAT GOES UP TO $20,000 IN ONE YEAR CAN HAVE A CORRECTION, DOWN TO ABOUT $6,000. I THINK WE CAN DEFINITELY FIND THE BOTTOM IN THE $3000-5000 RANGE.

Hayes cited the period between 2013 to 2015 when Bitcoin’s price dropped greatly before again picking up and hitting $20,000 in 2017. While back then the market took months to change significantly, that’s no longer the case. As the popularity of cryptos soars, more people are becoming interested in the industry, making market movements more frequent.

WE’VE DONE THESE SORTS OF MOVES BEFORE. I THINK THE TIMESPAN’S GOING TO SHORTEN BECAUSE YOU HAVE MANY MORE PEOPLE INVOLVED IN THE MARKET AND WHO HAVE INVESTED CAPITAL AND RESOURCES TO BE ABLE TO TRADE THIS ASSET CLASS. AND SO NOW THAT WE HAVE MORE VISIBILITY, THE TIME BETWEEN AN AGGRESSIVE BEAR MARKET AND AN AGGRESSIVE BULL MARKET, I THINK IT’S GOING TO SHORTEN.

Hayes is convinced that an SEC-approved ETF would be the most ideal catalyst for Bitcoin’s rise. Recent news such as the proclamation that Ether is not a security, while positive, was not enough to turn things around for cryptos. That’s because such announcements don’t attract any new money into the market; all they do is reassure Ether holders that they made the right decision. He also doesn’t believe that the recent price decline is majorly influenced by the situation in the Asian markets, as has been proposed by some analysts.

Hayes made the prediction on the same day that BitMEX co-founder Ben Delo was recognized as the UK’s youngest-ever self-made billionaire. Ben Delo studied mathematics and computer science at Worcester College and he has amassed over $3.6 billion from the Hong Kong-based Bitcoin trading and derivatives market platform, according to The Times. The 34-year-old developer lives in Hong Kong with his wife, and according to the report, he leads a very modest and economic lifestyle despite his vast riches. He even reportedly uses vouchers to buy food at McDonald’s and only owns three pairs of shoes.