Earlier today, Bitcoin (BTC) plunged to $40,500 on the PBoC statement that deemed all crypto transactions in China illegal. Senator Patrick Joseph Toomey Jr. (R-PA) commented on its possible outcome for the United States of America.
When crackdowns bring opportunities
According to tweets by Sen. Toomey, the U.S. can benefit a lot from another series of anti-crypto actions by the Chinese government. All in all, it is a "big opportunity," he adds.
China's authoritarian crackdown on crypto, including #Bitcoin, is a big opportunity for the U.S. It's also a reminder of our huge structural advantage over China.— Senator Pat Toomey (@SenToomey) September 24, 2021
As U.S. authorities do not impose such draconian regulations against cryptocurrencies, including Bitcoin (BTC), the American economic system has a "structural advantage" over its rival.
Prominent Bitcoiner Anthony "Pomp" Pompliano, co-founder of Morgan Creek Digital, agreed with Sen. Toomey and thanked him for bringing public attention to potential U.S. benefits:
Very true. Thank you for bringing attention to this important aspect.
Also, Mr. Toomey recalled that economic liberty results in "a higher standard of living for all."
Circle CEO: "There are two models of reacting"
Jeremy Allaire, CEO of Circle Inc., an operator of the fastest-growing stablecoin, USD Coin (USDC), lists two models for the U.S. reaction to Chinese hostility.
1/5 A message to US and Western Policymakers on how to think about China's approach to crypto and blockchain. China opposes the Western system of values built on openness, transparency, privacy, free market competition and so forth.— Jeremy Allaire (@jerallaire) September 24, 2021
He claimed that the attack on crypto in China is a result of the "total control, centralization of power, elimination of privacy" inherent to the PRC's political regime.
As such, the U.S. should choose whether to be "more like China" or to demonstrate a "stoic, determined outlook" and "be on the right side of history."