’s top economic planning body has unveiled its plan for future industrial structure, categorising industries as ‘encourage’, ‘restrict’ or ‘eliminate’. Top of the list of industries recommended for immediate elimination is . But that’s really nothing to about.
Playing ‘Kiss, Marry, Kill’ With The Crypto Industry
So the National Development and Reform Commission (NDRC) has on . Is this just the latest stage in ’s against and its offspring? Or something far less sinister?
Firstly, this is just a draft list, which is under public consultation until May 7. Although quite how a public consultation affect’s anything in is anybody’s guess.
Secondly, this is a list of thousands of industries, with recommendations for each. The 450+ industries tagged for elimination fall foul of a number of possible criteria, including pollution and waste of resources.
Furthermore, the list was first published in 2011, yet most of the industries marked for elimination then are still around. In fact, most reappear in the ‘eliminate’ list in this updated draft.
banned 4 times in 2017
… some might see it as an extremely bullish indicator!— Alistair Milne (@alistairmilne)
Even if this was a move specifically targeting , we could construe ’s continued offensive as a bullish sign.
But What If It’s Different This Time?
Meh. According to commentator Dovey Wan, these proposals anyway, but if they do… Meh.
Firstly, if the Chinese government does enact the recommendations, local miners would have to According to Beijing-based crypto-analyst, Michael Zhong:
will no longer be dominated by but become more decentralized.
A ‘more decentralised’ , eh? Well that’s not too upsetting a prospect now, is it?
Furthermore, the removal of Chinese miners exploiting cheap electricity prices, would push the cost of up. And when the costs go up, it has a net positive effect on price. So… more decentralised AND more valuable?
“The loss of cheap Chinese electricity would raise the cost, which is net positive on price,” eToro senior market analyst, Mati Greenspan. “It would also serve to kill the FUD that is centralized.”
Maybe there’s some way we can influence this public consultation after all?
Would banning be a net positive for ? Share your thoughts below!
Images via Shutterstock
Published at Tue, 09 Apr 2019 10:18:03 +0000
