In the past two days, many claims have been made that the mainland is going to lift the ban on Bitcoin, and the claims are getting more and more intense. That is because they do not understand the underlying logic of the ban on mining on May 19, 2021. The previous ban on ICOs could be viewed from the perspective of disrupting the financial order, but the ban on mining in 2021 is completely from the perspective of capital control.
In a region with capital controls, lifting the ban on Bitcoin will undoubtedly open a hole for capital outflow. From this perspective, the possibility of lifting the ban in the short term should not be great.
Even if the Hong Kong-Shenzhen Stock Connect includes Hong Kong's Bitcoin ETF, don't have more imagination about the lifting of the ban in the short term. After all, the Hong Kong-Shenzhen Stock Connect only provides a channel for trading assets, but the settlement of these is still in the country and funds cannot go out. The difference between Hong Kong and Hong Kong is that it is a financial free port itself, and the free flow of capital to accept encrypted assets does not have any obstacles to capital control. Even if the central government supports Hong Kong's encrypted asset policy, it is more from the perspective of activating Hong Kong's capital market.
