Price plunge, investors stuck
Bitcoin fell sharply again yesterday below the $ 8,000 mark, and in January this year, the bitcoin's cumulative decline reached 30%, down nearly 57% from its peak of $ 20,000 in December last year.
Although prices plunged so many people were "bleeding," one investor told reporters that there were not many people in his circles who chose to leave because he said: 'Some investors have been jailed, They want to flesh out, but they feel very deficient, so helpless.I personally think that this ups and downs is normal, after the Spring Festival will still be back up.
Crazy mining machine, the last feast
Bitcoin is based on a set of cryptographic codes that are generated by sophisticated algorithms and anyone can download and run bitcoin clients and participate in making bitcoin, a special computer device used to earn bitcoin, called a mining machine.
Bitcoin founder Nakamoto initially set the total supply of 21 million bitcoins for bitcoin, with about 80% of the bitcoin currently in use and more than 16.8 million bitcoin already dug up by the 'miners' around the world for market circulation. It also means that the world's 'mining machine' is now robbing the last 20%, or 4.2 million bitcoin.
Production capacity go with the price, mining machine far away overseas
While consuming the maximum cost of mining bitcoin.According to statistics, as of the end of 2017, global bitcoin mining power demand rose to 20.5 terawatt hours, which is equivalent to 0.13% of the total global electricity consumption, more than 159 The country's annual electricity consumption. So, where the price is cheap, bitcoin mining capacity to flow to where.
In addition, Huang Zhen, director of the institute of financial law at the Central University of Finance and Economics, believes that the tightening of regulatory policies has also led some of the mines to move overseas.
Huang Zhen said that for the 'mining' industry, the relevant departments conducted a thorough investigation and investigation and even conducted interviews with some enterprises. In the 'mining' a large amount of energy was wasted, and no greater value to the real economy was created Some places have already hoped to relocate the 'mines', so some mines have been moved overseas.
Currently, Malaysia, Kyrgyzstan, Belarus and even Canada, Iceland, are active Chinese miners figure.
Regulatory trends determine the price trend
But in the international arena, the days of bitcoin are also not good.US Financial Stability Regulatory Commission has set up a working group for virtual currency such as bitcoin to assess its possible negative impact.European Securities and Market Authority also said that, Is studying whether digital currency is a financial instrument under its supervision and in addition, financial regulators such as South Korea and India have stepped up their supervision.
Huang Zhen believes that the regulatory policy will have a significant impact on the development of Bitcoin.After the promulgation of various countries' policies, especially if the G20 can coordinate these developed countries to introduce a unified regulatory policy, the price trend of bitcoin and the upstream and downstream The industry will have a more specific expectation.