China would be legislating and working to manipulate the value of Bitcoin downwards, given the possible development of an Altcoin based on the Ethereum blockchain, which the country could be leading.

A few days ago, specifically on Monday, September 4, China prohibited the generation of ICOs and all active ICOs based on Bitcoin in the country and prohibited investing in them, in addition, it forced all ICOs to return the assets, all for the great number of ICOs that end in scam in the country. That blockage ended in the fall of Bitcoin, which went from almost $ 5000 to fall below $ 4000, although it has been recovering, there has been a new fluctuation in the value of this cryptocurrency.

Analyzing the situation, we must say that China's movements have not surprised us. China, in addition to Russia, are working on tokens based on [amazon_textlink asin = '1491971940 ′ text =' Ethereum 'template =' ProductLink 'store =' hardwa028-21 ′ marketplace = 'ES' link_id = 'fa6dbcd5-95be-11e7- a746-d94b0e1d1069 ′] and other countries, such as Brazil, the United States, Japan, India, Canada and South Korea, among some others, are studying the Ethereum blockchain and would study the admission of Ethereum as a security. The attack on Bitcoin points to a strategic objective of this country, to destroy this currency before launching its own token on the market. It seems like a pretty far-fetched strategy, but it makes sense.

MORE THAN 90% OF BITCOIN MINERS ARE IN CHINA

The fact that there are more than 90% of Bitcoin miners in China and therefore more than 90% of the coins that are generated is a very serious problem. We must understand that if the miners put all the Bitcoin on the market, we could suffer a sharp fall in the price of Bitcoin, something that is not viable either, because all the currencies would break, it would cause a fall of all the currencies and that is something that China is not interested in, the strategy followed by the country is to wear down Bitcoin.

That Bitcoin are mostly mined in China is a problem, because two things depend on them: the value of this cryptocurrency and that coins continue to be generated. The Asian giant does not want capital flight or laundering of the same and is that as you well know, the country is one of the most opaque and closed in the world, costing a lot to enter currencies and remove them is almost impossible, therefore Bitcoin, as It is not subject to government control, it allows capital to be moved freely and a government like the Chinese does not like that.

Another factor that annoys the authorities is not benefiting directly and indirectly from the mining of cryptocurrencies in the country. Electricity in the country is very economical and that is why mining farms are highly profitable, but in addition, many are close to rivers and generate electricity through the flow of rivers, therefore they are net benefits and cannot be taxed. the currencies, the state loses millions of Yuan a year because it cannot force the miners to go through the box, it is for this reason that they would want to block the Bitcoin and force to mine the currency that they develop, of which they would have full control and they would see it all.

DO YOU ACT IN FAVOR OF THE ETHEREUM?

We have noticed that the attacks from China and Russia and more recently, Malaysia, are focused on Bitcoin and it is not a casual element. China and Russia are known to work on the Ethereum blockchain and could be developing their own cryptocurrencies, which would have a paper version. It is therefore that two countries whose money is practically dead paper and in recent years have greatly devalued their currencies, such as the Yuan and the Ruble, respectively, would be acting to promote the fall of Bitcoin and the rise of Ethereum.

BUT THEY ARE ALL FALLING

Yes, all cryptocurrencies have fallen and will continue to fall and rise, as Bitcoin does, because it is the main market value, the original currency and that is why all cryptocurrencies are exchanged in Bitcoin, therefore, if it depreciates the value of Bitcoin, the value of the other cryptocurrencies depreciates. This is why if the value of this currency falls, they are all dragging, due to the chain effect, since they are all dependent on Bitcoin.

The play consists of the attrition of the opponent, in this case the Bitcoin. A direct attack would destroy cryptocurrencies, well, it would cause them to lose almost all their value and that China is not interested in, so attrition is used. Ban Bitcoin transactions, ICOs, block mining farms, cut off the power, make them illegal, block capital. They are all movements that would cause Bitcoin to fall in value and investors move capital to other values.

GAME OF TRILEROS

That China is developing a currency under Ethereum is an indication that something is not on the table and that China is playing with the market. It is possible that what they are looking for is to destabilize Bitcoin in favor of Ethereum and that this rebound, allows their currency to grow a lot. To give us an idea of ​​this movement, China could become the richest country in the world, above anyone, by far, gold, oil or diamonds owns, they will have a currency, which will be worth 'x', but already They will have prepared the ground for you so that the value is very high.

CONCLUSION

The fact that all the Bitcoin miners are in China is a problem, because the inactivity of all, would cause the destruction of cryptocurrencies or at least, that of Bitcoin, which would see its value disappear. This would cause other securities, such as Ethereum, to position themselves as the market leaders and thus, when China and possibly Russia, launch their own cryptocurrency on the market, we are witnessing a perfect moment, since it is logical to think that they would save a certain amount of currencies and that will allow them to have a lot of capital and solve the problems that these countries have with their constant currency devaluations.

China does not want Bitcoin, because it does not benefit from it, just as it does not want other cryptocurrencies, what they want is to have their own and control it, since as is well known, the country is characterized by being a closed country, which blocks networks social, web pages that are not liked and others. We imagine that if they launch their own cryptocurrency, they will implement a script that will collect the data of the user who sends the operation and the one who receives it, etc., liquidating the privacy offered by cryptocurrencies.