Coronavirus and Crypto in China
By Max Steadman – Cryptocurrency Enthusiast
Over the last few months, media reports have been saturated with conversations about the Coronavirus as new information evolves while it sweeps across the earth.
Cointelegraph has investigated how the Coronavirus is influencing Bitcoin investment and more specifically, the crypto space in China, meeting with different experts in the community who are currently working in that part of the world.
These experts have been able to conclude that although cryptocurrency trading and the crypto space is not exempt from any reaction to the virus, consequences on the industry are lessened by the fact that a significant part of the work does not require direct person-to-person interaction.
Prior to any recently implemented remote work regulations, crypto selling and individuals working within the crypto sphere were already meeting this mandatory requirement. Meaning business models, lines of communication and access to platforms and customer support have not been dramatically altered.
Is Crypto a Secure Haven?
COO of Conflux, Yuanjie Zhang, sees that the "people expect the RMB" to devalue as the economy feels the impact triggered by the pandemic, noting that … "A lot of people actually convert their savings to cryptos, they're saving to USDT or DAI", suggesting Cryptocurrency trading is still prominent.
Though Zhang’s comments might have some validity, Canadian economist and Professor of Finance at Duke University, Campbell Harvey, rejects the simplicity of this notion. He accepts that the ongoing uncertainties are indicative that cryptocurrencies are "not a safe haven." Harvey also adds that, as long-established markets were reducing in value, the decrease in crypto markets was significantly greater. Though time will tell on how the markets will play out over long term.