Bitcoin (BTC) bull Bobby Lee, former CEO of BTC China, recently discussed the impact of the crypto mining ban in China in an interview with Bloomberg:
BTC China was one of the largest cryptocurrency exchanges in the world before Lee sold the exchange in 2017 after China began cracking down on the industry. Lee, now CEO of Ballet, entered the crypto world early on through his brother Charlie Lee, the founder of Litecoin (LTC).
In recent months, China has once again cracked down on industry, especially mining. However, according to Lee, this has nothing to do with concerns about carbon emissions:
“China has not bothered to distinguish green, renewable energy Bitcoin mining facilities from dirty coal-fired facilities. For me, this is a sign that it was not about the beauty of mining, but about a kind of perspective for the financial stability of the country.”
However, according to Lee, China could continue to crack down on cryptocurrencies and even impose a complete ban on Bitcoin in the end:
“The last straw would be something like a complete ban on cryptocurrencies. We’ve heard over the years that China has banned Bitcoin, technically that’s not true. Already today, in July 2021, the possession of Bitcoin is legal. You can buy it and sell it to your friends or strangers. It’s just that you can’t do that through one platform or one company because all of these companies and all these platforms have been shut down.”
According to Lee, the Bitcoin price could rise to $250,000 this year. Next year, a bear market cycle would begin, which would bring the price back down by 50% to 80%. By 2025, bitcoin could then reach $1 million and that could be the time when China completely bans ownership. He estimates the probability at 50%.
According to Lee, China has no interest in crypto at all beyond its own central bank digital currency (CBDC), the digital yuan or renminbi. Still, Lee doesn’t believe the digital yuan is the reason for the crackdown on cryptocurrencies, nor does a complete ban in China have a big impact on the market.
Sarah has been working in the field of crypto news for several years. She writes as a freelance author for various trade magazines on blockchain, bitcoin and altcoins. She also has a professional background in finance with a focus on investment and new forms of financing.