Crypto Weekly Roundup: Tesla 💔
June 4, 2021
So, let’s talk about FUD.
This week has been more FUD-y than most. So…let’s have some fun today. Let’s go through all of this week’s FUD and debunk them one after another.
FUD #1: China Bans Bitcoin….Again
I mean…come on.
Knowing that China will ban some facet of crypto is the rite of passage to any holder! So, what exactly happened this time around?
Well, China hasn’t banned Bitcoin in any shape or form. All that they have done is ban Bitcoin mining, and not even a blanket ban yet. This year the Chinese government is looking to decrease thermal emissions. The Bitcoin mining hubs of Xinjiang and Inner Mongolia are dependent on coal-based electricity, which adds to the overall thermal pollution. It seems like China is looking to strike down on these areas first.
The Sichuan region, primarily based on hydroelectricity, is still working around the issue, as per journalist Wu Blockchain.
FUD #2: OH NO. Iran Banned Bitcoin
Again …. Not true.
Iran has not banned Bitcoin. However, they have banned Bitcoin mining — for 4 months.
So, why did this ban happen?
Iran has been facing several unplanned blackouts for quite some time. However, as per President Hassan Rouhani, these power cuts have mostly happened due to a drought that had affected hydroelectric power generation.
According to the government, a four-month ban on energy-consuming mining will bring things back in control. In fact, licensed crypto mining facilities had already voluntarily shut down their operations to ease the burden.
FUD #3: YIKES. Iran Has Banned DeFi
Thailand’s Securities and Exchange Commission (SEC) has said that they will be regulating DeFi projects in the country. Under the Digital Asset Business Emergency Decree, digital token issuance must be authorized by the SEC.
And guess what? This is a good thing!
We want more regulation. We want governments to research and create regulatory frameworks to regulate decentralized finance applications properly.
FUD #4: Indian Banks Ban Cryptos
The Indian central bank, aka Reserve Bank of India (RBI), has actually said that banks can’t caution their customers against dealing in crypto. RBI said in an official statement:
“It has come to our attention through media reports that certain banks/ regulated entities have cautioned their customers against dealing in virtual currencies by making a reference to the RBI circular … dated April 06, 2018. Such references to the above circular by banks/ regulated entities are not in order as this circular was set aside by the Hon’ble Supreme Court on March 04, 2020.”
FUD #5: Elon Musk and Tesla
Bitcoin dropped by 5% after Tesla Chief Elon Musk tweeted the broken heart emoji to show that he has fallen out of love with Bitcoin (allegedly).
So, why has a Linkin Park meme dropped the crypto market?
Earlier this year, Tesla purchased $1.5 billion. Many are speculating that this could mean that Musk is selling off the Tesla BTC. However, WE DON”T KNOW THAT….yet.
This is just the market overreacting to Mr Musk’s whimsies.
As you can see, most of the Bitcoin FUD is overinflated nonsense, and it is mostly the media’s fault. Don’t be strayed by random online news reports. Be smart and remember — Do Your Own Research (DYOR).
Oh, and before I go, do you like Bitcoin? Do you like free Bitcoin? I sure do.
Why don’t you take our GetSmart Quizzes? Successfully answer the questions and win some SATs (satoshis)? After that, spread the love and send the quizzes to your friends and family. Let’s all earn some free SATs!
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