Financial commentator Peter Schiff's recent claim that the Chinese government likely sold its Bitcoin holdings in January has generated considerable interest. This statement comes after a comment from U.S. Senator Cynthia Lummis about a possible competition between the U.S. and China for 'digital gold' resurfaced online.
China's Alleged Bitcoin Sell-Off
In late January, Ki Young Ju, CEO of the analytics firm CryptoQuant, reported that China sold 194,000 Bitcoins seized from the PlusToken scam in 2019. Instead of holding these assets, the Chinese government allegedly distributed them across various crypto exchanges.
Peter Schiff’s View on Bitcoin and China’s Stance
Peter Schiff, a well-known Bitcoin critic, claims that China does not see value in Bitcoin. He argues that the Chinese government is not rushing to accumulate Bitcoin and prefers real assets like gold instead. He believes that China's alleged Bitcoin sell-off corresponds with its cautious stance on digital currencies.
How Other Countries Are Approaching Bitcoin Reserves
Other countries are also hesitant to include Bitcoin in their national reserves. U.S. President Donald Trump signed an order to create a Bitcoin reserve containing only seized assets. However, other countries like Japan and South Korea remain skeptical about Bitcoin as a store of value.
The disclosures by Peter Schiff and other experts highlight the diverse approaches countries are taking towards cryptocurrencies. While some abandon Bitcoin, others focus on developing their digital currencies.
