Crypto market sentiment has been overwhelmingly bullish so far this year. A number of events have strengthened the store of value narrative but, according to a poll, that could change quickly if the US clamps down on the industry.
Fear The Treasury Secretary
A recent crypto poll held by industry analyst ‘PlanB’ has posed the question ‘what concerns you most?’ regarding the short term future of the crypto scene.
At the time of writing over 6,000 people had responded with over 50% of them expressing concern over a draconian clampdown by US Treasury Secretary Steve Mnuchin.
What concerns you most?
— PlanB (@100trillionUSD) February 18, 2020
Craig Wright’s constant claims are growing tiresome but futures manipulation appears to be an issue for around 30% of respondents.
In recent weeks Mnuchin has commented on bitcoin and its brethren and none of it has been in a positive light. Mainstream media outlets such as Forbes have used this as a tool to disseminate more FUD and clickbait, but that is to be expected.
There is no denying that politicians and bankers fear bitcoin, even more so when their own economy is going down the pan. The FED is still injecting liquidity into a failing banking system which devalues the currency, and household debt has skyrocketed to record highs.
It is clear that there is growing concern that bitcoin and crypto currencies could undermine the greenback, however the central bank appears to be doing a good job of that on its own.
According to reports last week, Mnuchin referenced crypto currencies at a Senate Finance Committee stating;
“We’re about to roll out some significant new requirements at FinCEN. We want to make sure that technology moves forward, but on the other hand we want to make sure that cryptocurrencies aren’t used for the equivalent of old Swiss secret number bank accounts.”
He added that the new regulations will be very clear on greater transparency so that law enforcement can see where the money is going and that it isn’t used for money laundering.
Regulations and crypto clarity is long overdue in the US which lags behind the rest of the world for such. The wider concern is that they will use money laundering as a tool to clamp down on decentralized digital assets.
Others remained optimistic adding that “the more they fear bitcoin the more valuable it is and the more you need it,” and “It is a buy signal. Push against the grain, stack faster than them, because they will be buying.”
The only way governments can really control bitcoin is by buying up huge amounts of it, which of course will do wonders for demand and prices, and for those that have already been stacking sats.
Will the US crackdown on crypto? Add your thoughts below.