Ups and downs, the 10 best crypto events of 2021

2021 will be the year of ups and downs for the cryptocurrency industry. According to the data, venture capitalists have invested around $ 30 billion in crypto this year, nearly quadrupling their 2018 data and putting more money into the market than last year. After the recent turmoil, the trade crisis worsened as governments like China and the United States tightened support. However, for half a century, content from NFT, DeFi, and Meta Universe has been gone and the cryptocurrency industry is back. Overall, 2021 is a year marked in the history of crypto and a year in which crypto is still growing. Starting from the end of the year and New Year's time nodes and looking at the important events in the crypto space in 2021, we can better distinguish the highs and the lows.

New highs and flash crashes

From 2021, Bitcoin continues to reach new highs. At the same time, mining revenues continue to increase. According to the data, the total revenues of bitcoin miners in February exceeded $ 1.36 billion, a new high in December 2017. Total revenues in February were up 21.4% from $ 1.12 billion in January, and only a small portion of February's total revenues ($ 186.4 million, or 13.7%) from exchange rates.

At the start of April, with the announcement of a new generation of ASICs, the incomes of Bitcoin miners hit record highs all the time, and the challenges of Bitcoin mining reached new heights on April 2. The mining industry continued "gold".

Next, Coinbase, the largest cryptocurrency exchange in the United States, landed on the Nasdaq market, and its name needed a “boost” for the entire cryptocurrency exchange market.

However, the cryptocurrency industry has suffered from a downturn due to advances in China's abolition of mining and regulatory markets and regulations in many countries. Following the listing of the ProShares Bitcoin Strategy ETF, the first US currency exchange linked to Bitcoin, Bitcoin has skyrocketed.

The cryptocurrency market saw a sharp decline as the exchange rebounded at the end of the year.

China strict rules

On May 18, China Money and Investment Partnership, Financial Services Corporation and Financial Institutions Association jointly announced that financial companies and contracting organizations should not engage in virtual commerce.

On the evening of September 24, the National Development and Reform Commission, the Central Bank and others issued notices regarding the hype about mining and trading in virtual currencies. Among them, the National Development and Reform Commission and other departments published a report on the virtualization of virtual "mining" activities, and on the strengthening of the electrical double fold for new "mining" projects of management of the virtual money. The report also pointed out that the cryptocurrency “mining market” is classified as a “minor industry”. Virtual mining operations on behalf of a repository are strictly prohibited. Improve the credit management of information centers. Strict restrictions on the use of mobile devices and power by “mining” virtual banks. It is prohibited to provide financial, fiscal and financial assistance to new virtual currency "mining" projects.

In addition, there is a need to accelerate the removal of justice programs, to investigate and deal with violations of the legal use of electricity. Manage various utility bills. Virtual currency "mining" projects cannot participate in the electricity industry. Stop all finances and taxes on the virtual profit "mining" project. Do not provide financial support for virtual "mining" projects. According to the 「Industrial Restructuring Guidance Catalog nws, it will be deleted at the last minute.

Also on the evening of the 24th, the Central Cyber ​​Administration of China, the Central Cyber ​​Administration of China, the Supreme Court, the People's Republic of China. Plaw, Ministry of Industry and Information Technology, Ministry of Public Security, etc. The Foreign Exchange Administration released a report on Preventing and Addressing Speculative Risks in Cryptocurrency Trading.

The report indicates that virtual currency does not have the same legal status as fiat money. Virtual real estate is a financially legitimate business. Providing brokerage information and billing services for fiat and virtual currency exchanges, virtual currency exchanges and virtual currency trading as a central counterparty for virtual currency trading, token trading, trading virtual currency derivatives and other virtual profits related to the illegal sale of tokens and banknotes, illegal public release of securities, illegal trading of the future business, financial failure, legal and other activities suspected of Financial misconduct is strictly prohibited by law and is prohibited from making decisions. Examine the liability required by law for carrying out illegal financial activities necessary to break the law.

It is also illegal for the foreign exchange cryptocurrency to provide services to Chinese residents over the Internet. We provide services such as marketing, payment and troubleshooting for foreign currency domestic staff, legal entities, non-profit organizations, and people who know or want to know that they are involved in virtual commerce. , technical assistance, etc. will be assessed according to law, liability. Trading in virtual currency investments involves legal risks.

After the announcement, a company employee was able to answer reporters' questions about the issue and about providing virtual currency exchanges, virtual currency exchange for virtual currency exchange, and related services. virtual currency exchange. , token trading, virtual currency derivatives trading, etc. All business benefits are financial offenses and are strictly prohibited by law. It is also a financial crime on the Internet.

Change of mining focus

Data from October 14 shows the United States has become the world's leading Bitcoin mining site. At the end of August, the US hashrate represented 35.4% of the global hashrate, more than double that of April. He followed Kazakhstan and Russia. Kazakhstan ranks second after the United States for global bitcoin mining investment, accounting for 18.1% of global bitcoin mining power, up from 8.8% in June.

China's cost is dropped by 44% to 0 of July to 0, and the impact of 2019 by 75%. The publishers announced this record of the driver's use min space in my BTC.com, pastin and foundry.

Hundreds of Rise of Dogecoin Coins

Gougou, Shiba Inu's top digital asset, has grown over 11,000% this year and topped one of the top 10 digital assets this year. One of the reasons is Musk's backing for Dogecoin, the best year in recent cryptocurrency history. Human criticism of the Dogecoin boom is mixed. Protesters attempted to push the price of altcoin closer to $ 1, while critics warned the asset had all the hallmarks of a real estate bubble. When he falls he will be filled with sorrow. After Dogecoin, various animal and poo coins were transformed into battle and uphill.

Musk and Bitcoin two or three

Tesla's record first quarter profits were driven largely by Bitcoin speculation and selling point management rather than car sales. Musk also reported that he and his rocket company, Space Technology Corp. (SpaceX), personal bitcoin. Despite concerns about the environmental impact of Bitcoin, Musk generally supports this cryptocurrency.

Bitcoin has become a legitimate competitor to El Salvador.

On June 9, 2021, the Salvadoran Parliament approved the concept of Bitcoin as a fiat currency sent by the president, and El Salvador became the first country in the world to recognize Bitcoin as a fiat currency. On September 7, 2021, Bitcoin became the legal tender of El Salvador.

NFT out of circle

Moving into the second half of 2021, NFTs could become the leader in the cryptocurrency industry. Many well-known companies have been announcing NFT products one after another, attracting more online traffic with the flow of the Internet age. First of all, Ali, Netease, Tencent, etc. in-game, Audi released the NFT artwork, Burberry worked with the American sports company to release the iconic game, and gamers can collect and sell NFT in-game. LV, NFT game release …… At the same time, the concept of NFT has exploded in areas such as crypto artwork, gaming, and digital certification.

It should be noted that since last July the volume and value of CryptoPunks have reached new highs and once a “natural price” avatar has appeared. In addition, there are millions of dollars in offers in various digital formats. The NFT Home sells many jobs for "heavenly value".

Meta world explosion

The 2021 “meta-advantage” can be seen as a vibration in technology and capital. In March of this year, Roblox went public with a market capitalization of nearly $ 30 billion, directly leveraging market capitalization and facilitating access to key companies, manufacturing companies and trade groups. In July, Facebook CEO Mark Zuckerberg announced a new plan for his employees. He said Facebook will work hard to build the biggest communication network like global search engine like Metaverse.

Then companies like ByteDance, a consortium of mobile gaming giants Netmarble, Nike, Adidas, NetEase, Disney, and A-Share Meta Universe Concept all jumped into the action. Applications of meta-globalization have also emerged, particularly in the field of cryptography.

Metaverse, meta means "circle", "diffusion", and luckily represents the world. In 1992, research historian Neal Stephenson published the book "Avalanche", which first conceived a concept of metaverse. real world. In terms of development through 2021, meta-world refers to the virtual world versus the real world supported by augmented reality (AR), virtual reality (VR) technology and so on.

On December 6, the advertising industry announced "10 Internet Tips for 2021" published by the National Center for Language Resource Monitoring and Research. The top 10 internet tips posted this time include the Meta Universe. A marketing article stated that the "meta-world" is based on the sci-fi concept of the new "Avalanche" and now refers to virtual reality created by the driving force behind technological technologies such as XR (reality augmented), digital twins, and blockchain. . and the integration of artificial intelligence (AI) online and lifestyle applications. At this stage, the metaverse is still a strategy of exchange and exchange. Facebook announced that it had changed its name to "Meta", which is derived from "Metaverse".

Biden government intends to keep the coin stable

President Biden took the first major step in November to regulate banking as well as oversee cryptocurrency companies committed to financial stability, outlining steps that can be taken to shape the future of these digital advantages. A US Treasury Department board has approved Congress passing a new currency policy and prohibiting the disclosure of these digital assets to banks. This law is dangerous, given the stark contrast between the parties in the Senate and the House of Representatives.

The US Treasury Department announced the new rules for fixed coins on December 17. Nellie Liang, U.S. Under Secretary of the Treasury for Home Finance, said there are significant risks when investors use hedging coins, which bolsters regulatory sentiment for fixed income securities. "If Congress does not pass a law, they will try to use the power available to regulators," said a senior finance official at the US Treasury Department. He mentioned. General supervision can accomplish a bit here and there to become a stable coin, but since it is the basis of crypto assets, instability can come at great risk. In terms of managing stable earnings, Congress and the Council of Financial Security Department of Finance said in a November report that Congress had passed the law Yes it failed he was determined to do his own thing to firmly resolve the financial crisis.

Additionally, Forbes has announced its forecast for the crypto and blockchain markets in 2022. The release says stablecoins will become more important. According to a report by the President's task force, from October 2020 to October 2021, the use of the value of stationary coins increased by 500%, and the percentage of it shows no decrease.

Interest Hikes Expected To Affect Future Cryptocurrency Market Trends

Unprecedented monetary and financial support led by the Fed led to investments in cryptocurrencies for some time, but the crypto industry generally declined during negotiations over the past year. and many countries are tightening controls on cryptocurrencies. In fact, the cryptocurrency boom after the first half of 2020 is very close to the Fed. Loose monetary policy has often led to financial prosperity, and the Fed has kept interest rates close over the past year. This has contributed to the success and growth of market capitalization, including crypto. Then we have to solve the financial problem by continuing.

The expected rise in interest rates at the dawn of December is due to rising inflation. If the US inflation rate continues to rise rapidly, for whatever reason, the Fed will tighten monetary policy and start raising inflation sooner than expected. Warming interest rates will always affect the loose right-wing cryptocurrency boom. But the shoes have yet to land and crypto investors should pay close attention to the Fed's move on US inflation.