While global regulators continue to scrutinize the cryptocurrency industry, Tesla CEO Elon Musk says crypto is impossible to destroy.
According to CNBC, at a Code Conference in California, Musk said, “It is not possible to, I think, destroy crypto, but it is possible for governments to slow down its advancement.”
He feels the decentralized nature of cryptocurrencies may be a challenge for the Chinese government, which announced a new war on crypto last Friday.
Musk said, “I suppose cryptocurrency is fundamentally aimed at reducing the power of a centralized government. They don’t like that.”
According to him, the latest Chinese crackdown on crypto is likely to have something to do with the country’s “significant electricity generation issues.”
He further added, “Part of it may actually be due to electricity shortages in many parts of China. A lot of South China right now is having random power outages, because the power demand is higher than expected […] Crypto mining might be playing a role in that.”
The tech mogul does not consider himself being a massive cryptocurrency expert, he stressed the regulators should not be trying to slow down cryptocurrency adoption.
While answering a question, whether the US government should be involved in regulating crypto, Musk said, “I would say, ‘Do nothing.’”
Musk has proved to be a massive crypto price influencer on Twitter. His posts are followed by many experts resulting in massive price movements for tokens like Shiba Inu (SHIB), Dogecoin (DOGE), as well as Bitcoin (BTC). He has also faced criticism from the crypto community for suspending Tesla’s BTC payment option over presumed environmental concerns about Bitcoin mining in May 2021.
Earlier he managed to create massive optimism in the crypto market by announcing a $1.5 billion worth Bitcoin purchase in February.