The declaration of bankruptcy by Mt. Gox caused the price of Bitcoin to plummet from US$237.57 to US$80.05 that day, a decline of -72.15%. The nominal market value of Bitcoin directly evaporated by more than US$3.3 billion.
After plummeting, it rebounded to the price of $117.99, and closed down to -50.39% on the same day.
The collapse of Bitcoin was unexpected, but it was also reasonable. Participants all knew that Bitcoin would collapse one day, and it would not be an accident at any time. But the only thing they did not expect was that they took the last blow.
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On the day that Bitcoin collapsed, a major event occurred in the domestic capital market that attracted the attention of the investment circle.
In the afternoon of the same day, Qunxing Capital announced that it had officially reached an $8 billion private equity asset management plan with Merrill Lynch.
Yes, an additional US$3 billion was added during the previous negotiations.
This news has attracted huge attention in the industry. Merrill Lynch is one of the five largest investment banks in the world, and Star Capital is a capital giant that has risen rapidly in China in recent years. The cooperation between the two parties has been praised by the outside world as a combination of East and West, a powerful alliance.
…
"When will Merrill Lynch's funds be in place?" Fang Hong asked Tian Jiayi, who had come back to report to him. During this period, the price of Bitcoin reached US$300 because of the operation of Fang Hong's team.
This wave of epic market movements has not only failed to make a profit in Bitcoin so far, but has also resulted in a net book loss of US$672 million. Judging from the current book losses, this wave of bankrolling has not only made no money but also losses.
Went to grandma's house.
But this is only the first step. Let Mt. Gox go bankrupt quickly. This goal has been achieved so far.
It has just begun. Fang Hong has never thought about selling the goods to those players in the currency circle. They only have a few steel coins. How can they catch it?
As for who to ship the goods to?
Still need to ask?
Of course it's Merrill Lynch. Didn't it already come with 8 billion US dollars as a gift...
If you don't cut the leeks that come to your door, you're really sorry for the kindness of others.
Fang Hong doesn't believe that the other party is here to cooperate with you at all. He wants to use 8 billion US dollars as bait to fish out Qunxing Capital so that he can fatten up and then conduct a precise directional blast?
At this time, Tian Jiayi replied: "Within the next month, all Merrill Lynch's funds will be received."
Fang Hong nodded: "Well, the time is about the same. In addition, Merrill Lynch's funds must be segregated from our own funds. At the same time, Qunxing Capital sent people to acquire the Mt. Gox trading platform. After Merrill Lynch's funds are in place, let Merrill Lynch
Lin’s money invested in the platform.”
At present, the Mt.Gox management team has chosen to declare bankruptcy and lie flat. The 750,000 Bitcoins lost by users must have been wasted.
This is obviously bad news for currency players.
At this time, Stellar Capital transformed into a "white knight" to clean up the mess, reorganize the Mt.Gox trading platform, and help the cryptocurrency market get back on its feet. All players in the currency circle must be grateful, and they also pulled Merrill Lynch to endorse it.
The strategy after that is simple. Launch a more violent market again, and then start shipping. Not only can the current net book loss be filled, but also a huge profit can be made. The most critical purpose is to turn Merrill Lynch's
The funds are stuck on the top of the mountain.
Then send the price of Bitcoin to the basement.
When Merrill Lynch's money is completely locked up, it will definitely be extremely angry, but will it be cut off?
Certainly not!
Because there is no point in cutting the meat, what else can Merrill Lynch do if it wants to unwind? Of course, when encrypted digital currencies start to blow up, even if you don't believe it in your heart, you will be forced to blow up, saying that this thing has great prospects.
"If you cut Wall Street's leeks like this, it will create a big problem. It's best not to go abroad in the future." Tian Jiayi couldn't help but say this. No wonder this guy wants to hide behind the scenes and control everything.
Hua Yu shouldered everything...
Fang Hong said with a smile: "They are only allowed to cut other people's leeks but I am not allowed to cut his own? I have to come up and give them to you. It's hard to refuse such kindness."
Those people on Wall Street are always harboring bad intentions and have no good intentions. As a time traveler, I know how ugly those people are.
…
At the same time, after the price of Bitcoin collapsed, the Mt.Gox trading platform declared bankruptcy, and more negative news followed. Reports came out that day that the main cause of the hacker attack was the Mt.Gox trading platform.
Management confusion and technical holes.
In particular, there are major loopholes in the Mt. Gox trading system. Hackers can attack the trading system and transfer stolen Bitcoins to their own accounts. However, these loopholes have not been repaired in time.
In addition, Mt. Gox’s management team has also been accused of lacking professionalism and effective management of the company’s funds.
As the incident spread, it also triggered more discussions. Some people in the investment circle commented that the Mt. Gox incident was not just a technical vulnerability and management issue, but also involved regulatory issues in the encrypted digital currency market.
There are almost no regulatory agencies and regulations in the current Bitcoin market, making it difficult to effectively protect the rights and interests of exchanges and investors.
This is true.
The Mt.Gox hacking incident will definitely have a profound impact on the entire cryptocurrency market. After this incident, investors will definitely re-examine the security and reliability of cryptocurrency.
But on the other hand, it will definitely accelerate the market and development of cryptocurrency technology. These are also within Fang Hong's estimation. He has accelerated the push behind the scenes. This is a forward-looking layout that takes one step at a time and sees ten steps.
Through this incident, especially the subsequent trap of Merrill Lynch, which dragged one of the world's five largest investment banks into trouble, and was forced to support cryptocurrency in order to untie the trap, it will inevitably promote people's further awareness of Bitcoin and even other cryptocurrencies in the future.
The potential of currency in the financial field has promoted in-depth discussions on blockchain technology and digital currencies.
This is a statement of high emotional intelligence.
Those with low EQ are said to be cutting leeks faster.
Once you start telling stories and bragging, that's it.
However, at present, the Mt.Gox incident has caused a serious blow to the confidence of the Bitcoin market. Mt.Gox is currently the largest Bitcoin exchange in the world. Its declaration of bankruptcy has caused participants to question the safety and reliability of Bitcoin.
It also intensified the panic.
After being cut in half, the next day on July 12, the price of Bitcoin collapsed again. After being cut in half, it was cut in half again. Everyone was crazy about short selling, and its price fell to 54.89 US dollars. On the same day, it plummeted -53.48% again. In three days,
From a price of over $300 to the latest price of $54.89, Bitcoin has lost $5.1 billion in nominal market value.
Fang Hong runs the Bitcoin trading team and currently has chips in hand to further expand the net loss, but this is only a floating loss rather than a real loss.
The trading team below cannot understand the operation of the big BOSS. Even if they want to break the bank, they cannot figure out how to make a profit and get out. They cannot sell goods if they are pushed up. The market has not accepted it. Once there is a large-scale sell-off, it will definitely be destroyed.
Net worth losses will be further expanded.
Obviously, the trading team did not know that the real taker was on the way, and they never thought that the big boss wanted to cut Merrill Lynch's leeks.
