Hayes: Chinese Tariff Retaliation May Spark New Wave of Crypto Capital

By: blockbeats|2025/04/08 17:45:03

Original Title: China's tariff response may mean more capital flight to crypto: Hayes

Original Author: Martin Young, CoinTelegraph

Original Translation: Deng Tong, Golden Finance

BitMEX co-founder Arthur Hayes said that China's response to the U.S. full trade tariffs may lead to capital flight to Bitcoin and cryptocurrency.

"If not the Fed, then the PBoC will be providing us the material for a Yahtzee," Hayes said on X on April 8, referring to the catalyst needed to reignite the cryptocurrency market bull run.

Hayes stated that if the Renminbi depreciates, "capital will flow into Bitcoin," adding that "it worked in 2013, 2015, and will work in 2025 as well."

Bybit co-founder and CEO Ben Zhou stated that China will attempt to lower the Renminbi exchange rate in response to tariffs, adding that historically, a Renminbi devaluation has been favorable for Bitcoin.

Renminbi vs. USD has weakened since 2022. Source: Google Finance

In August 2015, China devalued the Renminbi against the USD by nearly 2%, marking the largest single-day drop in decades. During this time, Bitcoin did attract some investor interest, although the direct cause-effect relationship remains debated.

When the Renminbi exchange rate broke the symbolic 7:1 mark against the USD in August 2019, Bitcoin's price also surged during the same period. Some analysts believe Chinese investors were using Bitcoin as a hedge, as the asset saw a 20% rise in the first week of that month.

In 2019, cryptocurrency asset management firm Grayscale noted the Renminbi depreciation and attributed it as one factor stimulating the Bitcoin market.

Avoiding Currency Control and Wealth Preservation

According to analysts, affluent Chinese citizens may have used cryptocurrency in the past to preserve wealth, shielding it from government control and evading domestic capital controls and restrictions.

People also believe that currency devaluation will undermine people's trust in central banks and government financial management, prompting them to turn to decentralized alternatives such as Bitcoin.

On April 7, U.S. President Trump threatened to impose additional tariffs on China, to which China responded by stating that it would "fight to the end."

The Chinese Ministry of Commerce stated in a declaration: "If the U.S. implements tariff escalation measures, China will resolutely take countermeasures to defend its own interests."

Original Article Link

-- Price

Solana did not fall behind during the bear market. Trading enthusiasm has waned, but the network is more stable, RWA and stablecoins are expanding, and the capital foundation is much thicker than in the previous cycle. The real question is: when the speculative tide recedes, can perpetuals, predicti...

Young people in South Korea make a "final effort" in the epic bull market

The South Koreans' average of two accounts for wildly gambling in the chip bull market reflects the survival anxiety and harsh reality of countless young people trying to break through class barriers behind the nationwide stock trading frenzy for wealth.

The pricing controversy of Trade.xyz exposes the fatal weakness of Pre-IPO perpetual contracts

SpaceX's equity update has sparked controversy over on-chain liquidations. Trade.xyz refuses to reset the SPCX pricing, and the lack of a Rebase mechanism in Perp DEX has led to a significant trust test for on-chain Pre-IPO assets.

How much longer can Ethereum's last big buyer hold on?

According to Bitmine's current buying pace, the 5% target is expected to be reached next month, and at that time, there may be no further increases in holdings. So, who will fill the buying gap for Ethereum?

World Cup 2026 Coming – WEEX Celebrates with $1M Prize Pool & Michael Owen Live

The 2026 FIFA World Cup is hours away. WEEX unveils the “World Cup x Dice Rush” campaign with a 1,000,000 USDT prize pool. Plus, Michael Owen reunites with WEEX COO for an exclusive pre-match livestream. Join now!

Morning Report | OpenAI has submitted an S-1 registration statement draft to the U.S. SEC; Morpho completes $175 million financing

Overview of Important Market Events on June 9th

Galaxy Deep Research Report: How Hyperliquid's HIP-4 Upgrade Changes the Landscape of Prediction Markets?

The platform that wins this competition will be the one whose execution layer is the hardest to replicate, whose builder ecosystem delivers the fastest, and whose regulatory path is the most open.

The trillion-dollar valuation test: Are the three major super IPOs a celebration for tech stocks or a nightmare for the crypto market?

Morning Report | Digital Asset completes $355 million financing led by a16z Crypto; Meta completes operational separation from Manus

Overview of Important Market Events on June 11