During the year 2021, the CCP banned Bitcoin in two stages. First, possession, then Bitcoin mining. After banning Winnie the Pooh from China, it became clear that Bitcoin was the next priority target for Xi Jinping and the CCP...
But as always with the CCP, and totalitarian leaders in general, you have to expect that they will apply the proverb to the letter:
Do what I say, Not what I do.
In a document relayed on Twitter, Ki Young Ju, an analyst at CryptoQuant, revealed that China holds about 194,775 BTC. The CCP Bitcoin holding is worth approximately $3.9 billion, which is stored in the accounts of the State Treasury.
So the CCP is indeed a Bitcoin whale, and even an Ethereum whale with no less than 833K ETH held:
That's more than 1% of the total Bitcoin available on the market.
That makes Beijing one of the largest whales in the Bitcoin (BTC) segment. But the CryptoQuant analyst tempers this and says, “the current status of this reserve is unknown.” There is no information on whether it has been sold or whether the government has made any updates in recent months.
An important point to note is that China controls more BTC than Microstrategy, which holds 130K. It is the public company that holds the most BTC in the world.
You might be wondering how CCP was able to acquire this Bitcoin. Well, the Chinese government obtained this huge amount of BTC after the PlusToken Ponzi scheme seized BTC.
The PlusToken case caused a big stir in China in 2020, for resulting in a loss of more than $4 billion. A hundred people were arrested. Let's recall that Beijing had also got hold of 833,083 ETH, 1.4 million LTC, 27.6 million EOS, 74,167 DASH, 487 million XRP, 6 billion DOGE, 79,581 BCH, and 213,724 USDT.
Thus, the Chinese ogre's crypto holdings are estimated to be worth over $6 billion.
Shortly after the seizure of these cryptos, the Chinese government indicated at the time that it would handle them according to the laws. However, analyst CryptoQuant notes that the market is worried about the fate of these tokens. Indeed, if Beijing sells them suddenly, just to get rid of them, it could create a panic in the market. Something far from ideal in the middle of a Bear Market while star companies fall one after the other for having mismanaged their business!
The most logical thing in my opinion would be for the CCP to hold this BTC in case the monetary revolution announced by the Bitcoiners takes place in the future.
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