Elon Musk, on Tuesday at the Code Conference in California, said that he believes cryptocurrency to be virtually indestructible. He has been a very active supporter of cryptocurrency, and a significant, bullish influencer of the crypto trade markets.
To be exact he said, “it is not possible to, I think, destroy crypto, but governments can slow down its advancement.”
We have usually taken his words at face value, and they have affected the markets in all the ways that one could imagine. His tweet a while ago stating, “Tesla stock price is too high IMO,” resulted in the share price falling by 10%, with of course action by the SEC.
This time he is stating out his opinion that the government should “do nothing” when it comes to regulating cryptocurrency.
The biggest factor that governments dislike about cryptocurrency is that it takes away control from the central legislative bodies. While the general public should have been wary of investing in an unregulated market, the response that this side of digital currency has received is huge, and along with us, he might have the same fear of complications and red tape if any central bodies are involved.
Musk noted, “I suppose cryptocurrency is fundamentally aimed at reducing the power of a centralized government,” adding, “They don’t like that.” Having said that, Elon states,
I wouldn’t say that I’m a massive cryptocurrency expert… there’s some value in cryptocurrency, but I wouldn’t say it’s the second coming of the Messiah.
Musk also spoke about China’s role in cryptocurrency mining and regulation.
China’s central bank announced stricter measures in its broader crypto crackdown last week, including beefed-up systems to monitor crypto-related transactions.
Musk stated that the heavy hand is most likely due to the country’s “significant electricity generation issues.” “Part of it may be due to electricity shortages in many parts of China,” Musk speculated.