On the morning of March 8, 2022, we saw a marked decline in the price of cryptocurrencies, BTC was only trading at 38,000, which immediately caused the support level of this coin to drop to $37,000. Eth was reduced to 2,510, down 1.7% from yesterday. However, on the contrary, there are still some cryptocurrencies that have slightly increased Cosmos (up 1.8%) and XRP has not yet shown signs of falling in price.
Tensions between Ukraine and Russia
Also on the morning of the same day, the relationship between Russia and Ukraine continued to make bad changes, which indicated the movement of capital flows of investors from the market.
The number of civilian casualties in Ukraine continued to rise shortly after the ceasefire ended. The port city of Mariupol and other major cities in Ukraine have been the target of heavy Russian bombardment, which has cut off the evacuation of civilians from the war zone.
Investor anxiety is heightened as energy prices have risen, which means gasoline will rise in price. Currently, the American Automobile Association announces the price of gasoline has risen to $4,009 per gallon.
Ben McMillan, chief investment officer at IDX Digital Assets, told CoinDesk TV on Monday that “Oil is a tax on all economies today globally.”
The crisis between Russia and Ukraine has directly affected the stock market, with the Nasdaq’s technology index and the S&P 500 both falling to their worst levels in a year (the Nasdaq is down nearly 3.6 percent and the S&P is down 3 percent).
Currently, the cryptocurrency market is in the red due to the influence of Russia and Ukraine. But McMillan has provided us with a bit of optimism by explaining that BTC and ETH are the two digital currencies most popular with investors because the capitalization of these two cryptocurrencies is the largest in the market, compared to other cryptocurrencies.
Not only does McMillan believe in the recovery of the cryptocurrency market, but Temasek (Singapore’s sovereign wealth fund) and SEQUOIA Capital of the US (which invests in risky technologies) have also reaffirmed their commitment to cryptocurrency projects. This will contribute to strengthening the confidence of future investors in the market.
Malaysia promises to become a cryptocurrency hub in Asia
In order to become one of the leading financial centers in the region, a country needs to possess the following three factors: favorable weather, general laws, and the number of bilingual people (Can speak 2 languages).
When we think of Asia’s leading financial centers, we immediately think of Hong Kong or Singapore. These are two commercial finance countries that have quite a lot in common, not only the popular English user force but also the British legal system (common law).
But there is now a country that still speaks the English language and the British legal system to this day. And the heritage in this country does not erode over time like Hong Kong, the weather here is also extremely favorable for people to travel and live at a low cost. That’s Malaysia.
The goal of the Malaysian government is to be able to use case law (this is a law based on the decisions of the judiciary) built on the basis of British law. This code has a certain clarity in addressing the situation of the developed country, which ordinary laws or regulations cannot solve.
Fusang, based in Labuan in Malaysia, known as Malaysia’s Hong Kong, is a good example of the case. Previously, Labuan was a financial center of Malaysia but was not known too much. And the territory was really booming when Fusang put the center on the map as a stock and bond service.
Ceo Henry Chong once said, “Paper stocks today, digital stocks tomorrow.” This is a saying intended to explain to people that digital stocks have never been a new asset class and that we need a new set of rules.
In the crypto market, we can see CoinGecko, which was born in Malaysia, and is currently a serious competitor to CoinMarKetCap. Along with that, cryptocurrencies in Malaysia are not even taxed, along with the level of English education in this country is gaining certain sympathy for investors in the decentralized financial industry (DeFi).
On the other hand, at the time of the COVID-19 outbreak in Hong Kong in early March 2020, about 76,000 residents opted to emigrate from the city, which took place just as the city began proposing methods to prevent the epidemic.
There are those who choose Europe as their destination, others choose Thailand as a stopover, and there are also some who choose Malaysia. So the question is how many of the 76,000 people choose to return to Hong Kong when the epidemic ends?