InstaForex

September 29, 2021

‘They Fear Crypto’ - Elon Musk quip China?

 Aware of China’s actions of increasingly abandoning the crypto industry, Elon Musk believes the country with the status of the world’s second largest economy is actually not favoring the presence of cryptocurrencies.


He explained that in an interview at the Code Conference yesterday, China was seen in fear of the emergence of cryptocurrencies because it considered these assets a threat to the central government:


"I believe crypto was introduced for the purpose of reducing centralized power and it seems they don't like the idea."



The Tesla founder also claimed that crypto was so valuable that it was difficult for China to control it: "When a government fails to manage and control a database of money, maybe the value is there."


While Musk is known for his tweets that are capable of rocking the crypto market, this figure believes that every cryptocurrency has a long -term goal.


However, that does not mean that cryptocurrencies will not end in ruin.


Interestingly, the SpaceX founder also believes the Securities and Exchange Commission (SEC) should not take any further action related to crypto legislation, similar to what the agency did against stablecoin, Coinbase, and Ripple.