Tron founder Justin Sun on Monday said China is preparing to return to the crypto industry after a crypto trading and mining crackdown in mid-2021. China has taken a big step towards cryptocurrency regulation with the implementation of a tax on crypto transactions. Justin Sun however remains confident in the eventual acceptance of Tron in China.
Justin Sun in a series of tweets on January 30 said China is signaling back to the crypto industry with the implementation of a tax on crypto transactions. He believes it is a big step towards cryptocurrency regulation amid rising crypto adoption in the country despite a crypto crackdown in mid-2021.
Chinese authorities have started imposing a 20% tax on crypto. Justin Sun's insistence on taxation on crypto transactions clearly shows that the Chinese government views cryptocurrencies as a legitimate form of wealth and wants to ensure proper taxation.
Tax policy will boost crypto adoption in China. In addition, it will provide a clear regulatory framework for the public and businesses. China is expected to regulate the crypto industry to "further provide safety and stability."
"The crypto tax in China is a positive development for the global cryptocurrency market and may be an example for other countries to follow."
Justin Sun moved to Hong Kong because he believes China's crypto market is on the rise. Experts predict that China will drive the crypto market's next surge amid Hong Kong hub plans. He believes Tron and Huobi Global will lead crypto in Hong Kong development.
