During a brand new interview with CNBC, Jeremy Allaire, co-founder of Circle, addressed the reason for which the developments in China are showing that the country’s anti-crypto position seems to be “softening” these days.
Bitcoin, legal property in China
“Recently, a major Chinese court defended that Bitcoin is in fact legal property in China, which was significant. We’ve seen one of the very largest commercial banks, Bank of China, start to do proactive information marketing about the benefits of Bitcoin, the risks of Bitcoin, but more broadly its role in the world.”
The government in China has banned ICOs and most BTC trading back in 2017 if you recall. They also discourage BTC mining, and this drove a lot of mining operations out of business.
A potential change in the Chinese government’s outlook
According to the Daily Hodl, there’s a report from June coming from Xinhua News Agency which is China’s state-run press agency.
This entity has stated that BTC displays the attributes of a “safe haven asset” – this means that there’s a potential change in the government’s outlook.
According to the online publication mentioned above, the Bank of China has issued an extensive infographic back in June in which there were addressed the benefits of BTC as a new asset with a limited supply.
Allaire noted that there is important Chinese participation in the BTC market via offshore platforms in more jurisdictions such as Singapore.
“I think the broader theme of Bitcoin specifically, crypto more broadly, participating in these global macro forces is becoming more and more clear. Rising nationalism, rising amounts of currency conflict trade wars,” he began.
Allaire continued and explained that “these all are supportive of a non-sovereign, highly secure digital store of value and that’s very clearly been the fundamental thesis for Bitcoin and it continues to play out.”
