At the Recent Code Conference event Elon Musk shared his views on how governments are trying to regulate crypto. He warned that governments should stay away from regulating the industry.
Tesla CEO Elon Musk is known for being vocal when it comes to sharing his views on cryptocurrency. Often tweeting about cryptocurrencies that he supports, as well as crypto that he isn’t quite as into. As a guest at the Code Conference in California, Musk was questioned on the crypto crackdown that is taking place in various countries, and what his views were.
In response to a New York Times journalist’s question about whether the U.S. government should be involved in regulating the crypto sphere, Musk noted the following:
“It is not possible to, I think, destroy crypto, but governments can slow down its advancement. I would say, ‘Do nothing,’”
While admitting that he isn’t a “massive cryptocurrency expert, per se, Musk has admitted that in his opinion crypto does hold value, particularly when it comes to reducing the “error and latency” in the legacy money systems.
Musk also commented on the crypto crackdown in China that saw the PBOC and the government officially making any crypto-related activity illegal. The Tesla CEO suggested that crackdown on crypto may be in part to the electricity shortage in the country, and blame being placed on crypto mining companies.
“Part of it may be due to electricity shortages in many parts of China…A lot of South China right now is having random power outages, because the power demand is higher than expected…Crypto mining might be playing a role in that. I suppose cryptocurrency is fundamentally aimed at reducing the power of a centralized government…They don’t like that.”,
The strict measures in china have led to a number of crypto companies moving their operations abroad, or closing down entirely. Several of the largest Chinese crypto mining pools have made announcements this week revealing the closure of their business. Crypto exchange Huobi also revealed that it will be stopping mainland customers from joining the platform as of Friday, and has plans to terminate all Chinese accounts by the end of 2021.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
