Thursday, July 7

The dark prognosis of an expert: bitcoin will disappear | Digital Trends Spanish

The situation of bitcoin These days it is not the best, among other reasons for the instruction given by the Chinese government to stop supporting the digital currency.

Analyst Fawad Razaqzada at the ThinkMarkets trading site commented on why the People’s Bank of China in a statement has promoted this disincentive, which mainly affects the mountainous province of Sichuan, where the largest crypto mining farms in the country are located.

“Concerns are mounting about China’s ongoing crackdown and fears that the widespread acceptance of Bitcoin and other digital currencies will be delayed due to concerns about their environmental impact,” the expert commented.

And it is precisely the high environmental cost that concerns connoisseurs, such as the chief strategist at Canadian financial research firm BCA Research, Peter berezin.

“Bitcoin consumes more energy than is consumed by Pakistan and its 120 million inhabitants,” he exemplified.

Another of the central problems for Berezin has to do with criminal activities that have distorted the digital currency.

“The entire ‘ransomware’ industry would not exist without bitcoin” – and if all that leads to more scrutiny, more regulation, then the cryptocurrency will simply disappear, and its store of value will disappear as well, “he said.

Finally, the Canadian expert warned that “If we look at the transactions involving bitcoin, to this day, most continue financing all kinds of illicit activities. But if you look at the amount of bitcoin used for legitimate business purposes, the answer is very, very small, “he lamented.

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