Cryptocurrency led by bitcoin is accelerating the evaporation of world assets, and the once leading mining machine in China also chose to "turn around" at this time A few days ago, tianyancha information showed that Beijing bit continental Technology Co., Ltd. had an industrial and commercial change, and Zhan ketuan stepped down as an executive director
Zhan ketuan withdrew from the position of legal representative in October last year. After stepping down as executive director this time, he has no position in the company. After the "Gong Dou drama", the two founders of Jenk Tuan and Wu Jihan finally left bitland.
Affected by geopolitics, the market gradually lost enthusiasm for speculative assets, and cryptocurrencies were sold one after another. Recently, bitcoin once fell below $30000, halving from last year's high price, and 40% of bitcoin investment accounts suffered losses. The "decoupling" of the head stabilization currency also occurred, further causing panic.
At this year's Berkshire Hathaway annual general meeting, Buffett once again attacked bitcoin on the grounds that bitcoin "does not produce any value".
The Jenk regiment withdrew from bitland
After "peacefully breaking up" with Wu Jihan, the Jenk regiment finally chose to leave.
Tianyancha information shows that Beijing bitcontinental Technology Co., Ltd. has undergone industrial and commercial changes. Zhan ketuan stepped down as an executive director and no longer holds a post in bitcontinental.
As a big Mac company of domestic mining machinery, bitland has sought IPO for many times, but it has not yet taken place. After many stories, such as fighting among the founders and seizing the business license, in January 2021, Jenk group and Wu Jihan reached an agreement. Wu Jihan resigned from the post of CEO and chairman of bitmainland. Jenk group borrowed US $400 million from bitmainland and raised US $200 million from outside to buy about half of the shares of Wu Jihan's team.
In addition, Wu Jihan took bitdeer and overseas mines in the United States and Norway and served as the chairman of bitdeer (a cloud mining service provider of bitmainland). Antpool (ant pool) was also split into an independent company led by Jank group. At that time, Wu Jihan said that in order to comply with the valuation adjustment, the number of stocks in the hands of investors in round B and B + also tripled. Bitland's business model will be more intuitive and the road of IPO will be smoother.
In September 2021, the people's Bank of China and other ten departments issued the notice on further preventing and dealing with the risk of speculation in virtual currency transactions and the notice on regulating the "mining" activities of virtual currency issued by the national development and Reform Commission. After the release of the notice, many relevant enterprises responded to the regulation and stopped providing services in Chinese Mainland, covering exchanges, financial service providers, mining pools, market inquiries and other enterprises, and bitland is no exception.
In October, 2021, the wechat official account of bitmainland announced that it would actively respond to the government policies of the locations of the company's entities and stop the shipment of ant mining machines to Chinese Mainland (excluding Hong Kong and Taiwan, China). In the same month, the legal representative of bitcontinental was changed from Zhan ketuan to Zhou Feng.
However, on May 10, bitland added a new piece of foreign investment information to invest in a company called beihaishan investment partnership (limited partnership). The company was established on May 9. Its business scope includes investment activities with its own funds, socio-economic consulting services, financing consulting services, information technology consulting services, etc.
The executive partner of the investment partnership (limited partnership) next to beihaishan is Jenk group; The controlling shareholder is Beihai Suanli Venture Capital Co., Ltd., and the actual controller is still Zhan ketuan himself. After bidding farewell to bitland, the next stop of the Jenk group is expected to have other development considerations in the field of digital currency venture capital.
Bitcoin price shock caused panic
Affected by geopolitics, the market gradually lost enthusiasm for speculative assets, and cryptocurrencies were sold one after another.
According to mytoken data, the price of bitcoin has fluctuated repeatedly at $30000 recently. As of 14:00 on the 11th, the price of BTC was US $31708, down 18.43% in the past seven days and 51.79% in the past six months. Compared with the high of $67000 in November 2021, the price has already halved.
According to glassnode, a blockchain analysis company, 40% of bitcoin investment accounts suffer losses. If the short-term holding accounts at the peak of bitcoin are included, this proportion is even higher.
Ethereum, the second largest market value, has also experienced a considerable decline in the near future. As of 14:00 on the 11th, the price was US $2401.77, down 16.4% in the past seven days and 48.58% in the past six months.
Terrausd (UST), the third largest stable currency of cryptocurrency, fell below US $1 on Monday and once fell to a low of 89 cents, leading to a large number of investors selling their assets. As of 14:00 on the 11th, the price of ust was as low as 63.9 cents, down 36.75% in the past seven days. At present, it is in a state of serious decoupling.
Ust is an algorithmic stable currency, which maintains the link with the US dollar through a set of coinage and destruction mechanism on the chain. That is, in theory, these mechanisms should ensure that traders can always exchange ust worth $1 for Luna worth $1. Luna has a floating price, which is designed to serve as a "shock absorber" for the fluctuation of ust price. However, recently, the cryptocurrency market continued to fluctuate, the Luna currency price continued to fall, the market value of the two was upside down, and the holders fled the spread of sentiment.
Last Thursday, Fed chairman Powell announced that the Fed would raise interest rates by 50bp to the range of 0.75% - 1%, fulfilling the largest single interest rate increase since 2000, and announced that it would reduce its balance sheet by $9 trillion from June 1, reduce it by $47.5 billion a month, and raise it to $95 billion within three months.
According to foreign media reports, the Federal Reserve said on Monday that the high inflation rate and the sharp rise in interest rates are one of the biggest recent risks facing the U.S. economic system. At the same time, it warned that Russia's invasion of Ukraine may also affect financial stability.
On the one hand, it is the selling pressure brought by the global geopolitical threat, the US interest rate increase and the table contraction. On the other hand, it is the panic caused by the "no longer stable" of the algorithmic stable currency. It is still possible to continue to explore the prices of cryptocurrencies led by bitcoin in the near future.
Where is the bottom of bitcoin? Recently, Steven McClurg, co-founder and CIO of Valkyrie investments, an American encryption investment fund, said that $25000 may be the bottom, and he will buy until $25000 or even lower. "Considering that countries around the world are still printing money, there will be more government expenditure and more inflation in the future, anything with limited supply is very interesting now."
The picture comes from Weibo
Mike Novogratz, CEO of Galaxy digital, a digital asset company, predicted at the recent earnings conference call that the recovery of cryptocurrency will not occur in the next two months and there will be more losses in the encryption market. But he said he was still "very confident" in the market. Once the stock market finds "some kind of bottom", bitcoin will rebound. In the first quarter of this year, Galaxy digital's net loss reached US $111.7 million, with a year-on-year decrease of nearly 87%.
Buffett attacked bitcoin again
Even if it keeps falling, the cryptocurrency market has become one of the investment areas that investment institutions can not ignore. On April 26, Fidelity Investments announced that the plan allows investors to open bitcoin accounts in their 401 (k) (pension savings plan). Later this year, 23000 companies using fidelity to manage retirement plans can choose to add bitcoin to their retirement savings list.
Salvadoran president bucker said on social media on May 9 that the Salvadoran government has purchased 500 bitcoins, which is the largest purchase of bitcoins by the government so far. Bucker said that since bitcoin became the legal tender of the country in September last year, the Salvadoran government has purchased about 2301 bitcoins.
However, since bitcoin swept the global investment market, Warren Buffett has consistently refused to invest in bitcoin and repeatedly expressed his disgust with bitcoin. This also makes Buffett attacked by some bitcoin lovers. Earlier, Peter Thiel, an American billionaire known as the "godfather of Silicon Valley venture capital", listed a series of "enemy lists" trying to prevent the development of cryptocurrency at the 2022 bitcoin conference held in Miami, with Buffett at the top of the list.
At this year's Berkshire Hathaway annual general meeting, Buffett once again expressed his view on bitcoin and said he was unwilling to spend $25 to buy all bitcoin in the world.
Buffett pointed out that bitcoin is not a productive asset and will not produce anything tangible. Its value depends on how much the next person pays the last person who owns bitcoin. Now many people participate in this gambling game, but these funds change hands among different people, but the owners are different, some of them earn and others lose.
"I don't know whether the price of bitcoin will rise or fall in the next year, or five or 10 years. But one thing I'm sure is that it won't produce any value. It has a magic power, and people give magic to many things." Buffett also said that why buy bitcoin, Berkshire can also give its own currency. In the final analysis, the US government has no reason to let another currency replace the US dollar we prefer now.
Munger also went on to emphasize the opposition of the bitcoin. "In my life, I try to avoid stupid, evil things that make me look bad compared to others - and bitcoin accounts for all three." The stupidity is that its price may still return to zero, and the evil is that it weakens the ability of the national currency and the Federal Reserve System. "Compared with countries that have banned bitcoin, we are still making all kinds of assumptions, which seems stupid."