Tron founder Justin Sun through a series of tweets believes China is preparing a comeback to the crypto space with its new tax implementation on cryptocurrency transactions.
On January 30, Justin Sun said in a series of tweets that China’s adoption of a tax on cryptocurrency transactions heralds a return to the cryptocurrency market. Despite a cryptocurrency crackdown in the middle of 2021, he thinks it’s a significant step toward cryptocurrency regulation.
Local tax officials in China have started to tax cryptocurrencies by 20%. According to Justin Sun, the Chinese government’s desire to guarantee appropriate taxation of cryptocurrencies and its clear view of them as a legitimate form of wealth are both shown by the tax on crypto transactions.
The tax code will increase the country’s acceptance of cryptocurrencies. Additionally, it will provide both individuals and companies with a clear regulatory framework. To “give greater credibility and stability,” China is anticipated to control the cryptocurrency market further.
“The crypto tax in China is a positive development for the global cryptocurrency market and may set a precedent for other countries to follow.”
Justin Sun considers relocating to Hong Kong.
Since Justin Sun thinks the Chinese cryptocurrency business is expanding, he is relocating to Hong Kong. Amid preparations for a cryptocurrency center in Hong Kong, experts predict that China will lead the next crypto bull market. He thinks Tron and Huobi Global will drive the growth of cryptocurrency in Hong Kong.
Additionally, he thinks Tron (TRX) will ultimately be acceptable in China since most Chinese people already use TRX.