Global CBDC is ready, cryptocurrency market investment polarization!

It was reported on April 14 that Hong Kong is hoping to expand the cross-border test of DECP after the first phase has been successfully carried out.Including the feasibility of expanding and deepening the use of digital RMB in cross-border payment. ZB Research Institute believes that Hong Kong is speeding up its integration into China’s financial environment, and DCEP (Digital RMB) is likely to be used in a wider range.

Regarding the central bank’s digital currency (CBDC), ZB Research Institute learned that Jon Cunliffe, deputy governor of the Bank of England, said on Thursday that the Bank of England had good reasons to issue the central bank’s digital currency.Cunliffe said COVID-19 accelerated the Bank of England’s move from cash to central bank digital currency.Jon Cunliffe said that the UK’s backward research and development of digital currency in the central bank will bring financial risks to the UK government.

At the same time, Federal Reserve governor Waller said: “the Federal Reserve is spending time on central bank digital money.”According to ZB Research Institute, this means that the relevant research of CBDC in the world has entered a critical moment, and the leading economies in R & D and use will be more likely to gain a favorable position in global finance in the future.

In the field of cryptocurrency trading, it was reported on May 14 that the Bank of Korea (Bok) is seeking the power to monitor cryptocurrency transactions through users’ real name bank accounts, according to a document recently submitted to legislators.

On May 14, the Central Bank of India unofficially urged banks to cut ties with cryptocurrency exchanges and traders.India is drafting a law to ban cryptocurrency and punish anyone engaged in cryptocurrency trading, which will be one of the most thorough blows to cryptocurrency investment, the source said.

The ZB Research Institute learned on May 14 that Robert Wearing, deputy chief legal adviser of the IRS, said that the IRS can seize people’s cryptocurrency assets to repay overdue taxes.In the past seven years, the securities and Exchange Commission has launched 75 encryption related enforcement actions, according to another report inquired by ZB Research Institute.The SEC’s encryption enforcement actions have resulted in $1.77 billion in fines.

ZB Research Institute believes that there are still differences in the attitudes of countries around the world towards encrypted asset transactions. Relatively speaking, the United States has fully recognized the value of encrypted assets and has a more positive attitude towards their transactions.

On the market side, it was reported on May 14 that Sotheby’s auction house had completed its cryptocurrency auction and sold Banksy’s iconic art “love is in the air” for $12.9 million, far higher than the initial estimate of $3 million to $5 million.Sotheby’s stressed that the auction marks the first time that cryptocurrency has been accepted as a payment method for physical works of art.

MicroStrategy CEO Michael Saylor announced on twitter that MicroStrategy has bought 271 bitcoins again for $15 million in cash at a unit price of $55387. According to ZB Research Institute, as of May 13, 2021, MicroStrategy has 91850 bitcoins, with a total value of $2.241 billion, and the average price of each bitcoin is $24403.

On May 14, Balyasny Asset Management, a top hedge fund, was considering bets on bitcoin. The Chicago based hedge fund manages assets worth more than $10 billion. The other three US hedge fund giants, Millennium Management, point72 Asset Management and Matrix Capital Management, are in different stages of establishing cryptocurrency centric trading funds. According to ZB Research Institute, these traditional hedge funds are not only establishing specialized cryptocurrency investment tools, but also planning to start earning returns through the DeFi platform.

On May 14, ZB Research Institute learned that Elon Musk, CEO of Tesla (talking about bitcoin), said: the trend of energy use in the past few months has been extremely crazy. And announced the suspension of bitcoin payment, musk said Tesla will not sell any bitcoin, once mining to more sustainable energy transition, it will be used for trading.

Musk claimed that Tesla is considering using cryptocurrency with lower energy consumption. Bitcoin expressed concern about the environmental impact. It also said that it is cooperating with the developers of Doge to improve the transaction efficiency of the system.Potential hope.

Bram, the founder of Chia, tweeted about Elon Musk’s claim that Tesla has suspended the use of bitcoin: “ if you’re worried about the environmental impact, you should sell all your bitcoin, which will increase supply, thereby reducing prices, mining returns and energy consumption.”According to ZB Research Institute, in addition to Musk’s behavior of “carrying goods” for some currencies, environmental protection will also become a new issue of cryptocurrency, and huge energy consumption will become the attack point of POW consensus mechanism inside and outside the industry, which will have a certain impact on the future market.

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