people have also been warned against travelling during the upcoming luna new year festival. the most important public holiday, the year. officials here are under intense pressure to control the outbreak before the winter olympics opens on february. the 4th though is taking part in the games will be confined to restrict that you bubble designed to be sealed off to protect the rest of china's population. khatri you al jazeera baiting. ah, it is good savvy with us. hello, adrian finnegan. here in doha, the headlines on al jazeera, the sprint gunfire, at several military camps in picket fences. capital were good to go. the defense minister denies that the army has taken over and detained the president. it sits you chill sure. there was an uprising in 6 locations, including the capitol. now everything is calm. those involved in the uprising are being investigated. the president wasn't arrested and he hasn't resigned. we know

where he is and we are following the situation and getting details about how this happened. and those he led the uprising are detained. we are asking all civilians to stay calm, and we will tell the public, the reasons behind this uprising. everything is under control. we continue our mission to protect our country, and its people cannot. armine, as president, has announced that he stepping down aman suck his young holds a largely symbolic position. he says he's resigning because he's unable to influence important foreign and domestic issues affecting his country. senior taliban officials are in norway for their 1st talks on european soil. out as era has learned that they'll be pushed on promises to uphold human rights, in return for billions of dollars and frozen humanitarian aid. russia has rejected british accusations that it's plotting to install a pro moscow leader in ukraine. the u. k says that rushes in contact with former ukranian politicians as part of a plan for an invasion. senior us officials are talking to cancer about potentially

supplying europe with gas. if russia invades ukraine. cancer is one of the world's biggest producers of liquefied natural gas. but mostly exports to asia. at least applying 5 percent of europe's gas authorities in libya have opened the 1st detention center for migrant women and children. it's an attempt to reform the system there after protests against abuse in recent months. in hong kong, a pet hamster tested positive foot corona virus for the 1st time, the rodents been given up by its owners as authorities try to stem a surge in cases while than 2000 hamsters in hong kong have been cold. after a pet shop work, a contracted cove at 19 sparking fears of animal to human transmission. and those, the headlines that he's continuously out out of the era after inside story, which is coming up next. ah.

is the bubble avow to burst forth bitcoin? it lost half its value. why de other currencies are dealing in the bad and well market are in decline. what does that say about the global economy? this is inside story. ah hello and welcome to the program. i'm hash marabella bitcoin, the mother of war crypto currencies has lost half its value in just a few hours. it reach an or time high more than 65000 dollars last year. but on

friday, it dropped below $35000.00 for the 1st time in months. and it's not just bitcoin. some of the biggest names in the block chain have been trading a read, some blame russia center bank, which proposed on friday a ban on the trade and mining of crew to currencies. a band by china le september had a similar effect. but a u. s. feather reserved decision to high interest rates was already having an impact before the russian announcement. let's take a quick look at it. coins. short history. it was created in 2008 by an unknown person or group of people under the name of santo. she like a model, it began circulating a year later as an open source software, which means anyone could access it's blueprint and make their own type of coin. the digital currency was intended for people to send money online and avoid the global

banking system. but value fluctuated sharply as people experimented on how to use it. now, bitcoin can be used to buy anything from property, electric cars, and even drugs and weapons, without leaving a trace. ah, less bring in our gas in london name asked lamb chief market analyst at avery trade in singapore selling capron, director of capron, asia and author of chomping of the bitcoin past present and future bitcoin in china from dublin, professor bryan lucy, professor of international finance and commodities trinity business school. welcome to the program name. do we know exactly what's behind the crypto currency for thanks for having me. there are a number of factors that are adversely invoicing,

the prices, 2 of them you mentioned. but the most important one is the risk of sentiment among investors, which triggered the big sell off how, how the seller really happened. that triggered that was figured by the federal reserve and federal reserve started to talk to, to, to give more hawkish stance to the market. because last year, everyone was anticipating 3 interest rate hikes, and fact was to increase interest rate to control inflation. and bitcoin is a national hedge to inflation. we know throughout the world, inflation is getting out of control. now the federal reserve bank, which is the central bank in america, wants to control that inflation was to control, reduce the supply of dollar in the system. hence, we're seeing this little bit of a retreat in the price. i want to emphasize one important thing over here. sure. with respect to point having is parties from where they are now. because last year

we saw the price action. great all the way 269000. now 34225000 bass. nothing new for this beast. bitcoin is known for a solitary, especially during the month of january over the last 10 years. we have seen plenty of quality or bit quite jannen is it because of the fact that bitcoin is all kept occurrences are the best hedge against inflation. the moment report started to circulate about the feather resort, starting to move forward past the past, past the cova decisions, particularly when it comes to stimulus and tackling inflation. there's been a panic reaction in the global stock market. and by definition that extend it to the crypto currency itself, or this explain why we the tumbling yes, i completely agree. i think, you know, the current is very volatile, obviously, as we know. and the reaction can be

a lot greater in terms of reacting to market news or a sentiment out there. and i think what we're seeing now is definitely a retreat. but as i mentioned, you know, this is nothing new for crypto currency. whether that be the coin, syria, him or any of the other many, all the coins that are out there is the solitary, is there. it is most likely, you know, on the historical basis a temporary i guess you would call it for a big coin. you know, we've seen this in the past where it's lost, 4050 percent of its value, and then creeped right back up. so it could just be the trend that we've always seen in january and that volatility. but who knows what all the future for brian? but the same time when you have the show of the crypt currencies, bitcoin suffering, this massive slide. could that be an indication that this is not just one of those old cycles of an or high and then a dive. this could be an indication that there's something completely or

intrinsically wrong with the very philosophy of coins or crypt occurrences. yeah, i mean, the problem with crypto is, like any process was presser, or donald says, the top is in the bottoms, and you know, they would make look foolish. so, is this, is this, we start with irrevocable decline in value? i don't know. i don't think so. i think that the current you have a role and will continue to play a role. and therefore, even though there is an argument that they have no fundamental intrinsic value, once we except them as a form of money, regardless of what they're being with us, then it will have a value as, as a form of money. the difficulty as the other speakers have mentioned is that the very nature of this beast is such that it is incredibly bollocks and it's, it's exposed to volatility across a very wide range more so perhaps in the other assets, it's exposed geopolitical volatility. it's exposed to economic folks and it's

exposed to sentiment volatility. it's exposed to regulation, since all of these are moving in a bit of a perfect storm against and indeed some other assets. moments in particular, regulatory one is the one which i think is the biggest bare case. that's where for those the very success of criminal currency, it's showing that there is a market for a, for a anonymous digital monitoring transactions. products is one back, central banks will not let go past the will, and they are moving toward central bank, the current seats, which are not and don't have the, the main investor crypto is that it's, it's not traceable. we use therefore, as you mentioned, bar, you know, go to real world in terms of purchasing central bank digital current seems to be really effective and have to acquire would not be centralized, will not be anonymous. ok, but there is a market out there. most people,

most retail best people will really care that much like more of a bunch of people who look into their in their systems. but they can do that any way to red mystery effects over all right. name the decisions by the russians. the chinese to ban crypto currency transactions is it is a justified in a fine answer work order. you know, i'm going to answer that question from a slightly different angle. if you are correct a believer and you are ready to buy big quite a price of a $69000.00 coin. why would you not buy it? at current price, which is more than 50 percent discount? regulate re stance is always being tough, be re, had a over 15 different occasions when china sort of her now was prepped of banning or

moving to russia. also doing that the even a republic of pakistan was also thinking of buying criptos over that. but i think for traders and for in masters, especially wall street banks, the most important aspect is, what is the u. s. stance to us? correct us. now we all know what black rockies, the biggest asset management company in the world backlog was a primary data. and the primary advisor to the u. s. during the 2000 manage the crisis during the corporate crisis. now, black rock is a major stakeholder in crypto mining phones. i a bit coin mining that really says a narrative where bit quote is really going to be going. and in our research, and what we believe is that this is the last time. perhaps we're going to see retraced me, where the price will be trading below $50000.00. because the next bull riley.

whenever that will happen, no one can predict and i'll be wrong if i will say that they yes, we know. but that will run whenever that will happen. they'll take the prices of well above 100000 in maybe perhaps near 152200. ok. the correction on the plunge is going to bring. the price is back to $50.60 and add that time. you will call that a crash. all right? generally law 50 for the happen. ok then the reason why i brought the issue of the a clamp down by countries like russia and, and china is that weeks ago, the head of the u. s. of america securities and exchange commission, gary gansler said the following, when he was talking about crypto currencies. it's a market rife with food scams and abuse, living many people to believe that this could be the beginning of the end over of

a wiping business. yeah, i think you could say the same thing about any market around the world, whether that be, you know, us stock markets, the us dollar, etc. i mean there's, there's plenty of examples in every market of abuse and fraud and everything else. but again, so it was kind of pointing out, so i think it's, you know, pointing at crypto. certainly it's happening more in the crypto space because it's a much newer market. but, you know, fundamentally, i think things are going to foreign. the, i mean, you have to, far to be stopped at this point, may have coin base as an example. you know, it's a multi $1000000000.00, a company that's listed on the stock exchange. you have many other mining companies that are already been listed, are lining up for backs or i p o. so i think, you know, the government really wanted to move around this and was really anti crypto. they would have had done that earlier because i think, you know, putting the genie back in the bottle at this point would be quite difficult for any of the regulators in the u. s. bryan,

is it fair to say that just the very nature of crypto currency, the fact that it's digitally encrypted based on blocked shane, not controlled by any central authority. it is been widely described for a political reason as a threat to the financial stability. and therefore we're seeing those, those dips yeah, the the history of, of money and history money in your estates, in particular is littered with private money. and this is what crypto is. and private banks pro private money creating banks, and in the 18 thirty's, 18, forties and fifties. we saw these come and go with good, gleeful abandon. the dear states also has in its political dna, if it chooses to reach out to us a fairly significant history of if it wants to an am after the present mood is such that it would clamping down very hard and very fast and extremely large

corporations that are deemed to be in, in the consumer and in national and self interest. the other problem, the crypto is exposed to, however, is one that we can hinted on earlier on which is about sentiment. and the reality is that big coin is an incredibly dirty currency. it's, it's a small asset in global terms, and yet it's, you know, the way in which it is produced in mind, whether it's in turkmenistan or in anywhere else. it tends to naturally go towards the cheapest kind of energy production, which at the moment is still typically going to be heavily carbon intensive a waste and became uses more electricity than medium sized countries. here because is the netherlands, bitcoin is mexico and you know, some, a global warming perspective. people get very heads up about yoga, clamping down on travel and worrying about whether they should just switch to

a hybrid, you know, getting rid of criptos or not abdicating. that would knock a large chunk of the problem right out the window. now as anthropogenic global warming continues, as that becomes an existential thresh. towards entrees. that's going to make the make it very least, a switch towards cleaner drifters. and there are keener grains of both mining and using criptos become, become a regulatory must, i think. all right, now now you've listened to what brian has just been saying. now this fall out, is it manageable? or what do you think crypto currency should be doing in the near future to win the hearts and minds of the people and of their we're going to, to re, systems all over the world. sure, so i just wanted to make some comments was been said earlier, currency, our fear money isn't really green at all as well. look at the amount of paper which has been circulated, ink and everything which comes with it. secondly,

with respect to the big coin mining, now over 55 to nearly 60 percent of that money is being actually use the my mining is done through renewable energy number 3. if you believe in matter us, which is the next future back, 3 o, then base currency is the future. digital currency is the future. number 4. now, actually, regulators within europe and i'm speaking of germany. the, the comic engine resume has allowed hedge funds to have allocation up to 10 percent increase of currencies. once the dust will settle and will come out of this particular storm that we are currently facing. with respect to bitcoin, you will see barrage of headlines coming out and mentioning co crates, hedge funds, institutions, probably offices buying cricketers at

a major discount. it is in their favor. what is happening in the media which is driving the price is lower, make no mistake. the money isn't really bad for failure to and what mentally friendly. well, i have to disagree. go ahead. go ahead. yes, yes. right. and 1st of all, you know, the amount of money like money in our pockets as a percentage of global money is infinitesimally small. so yeah, you're absolutely right, that's the big paperworks and, and stamping out coins is not particularly environmentally friendly. but the reality is, especially with coal, that we are moving towards a digital environment where the money exists only as electrons. secondly, the amount of transactions, the amount of activity and the size of the entire crypt market is still incredibly small by comparison to the global monetary environment and therefore different. so

i just might move out, let me, let me, i, if you don't mind and i miss just give, let's just give a brian, if you'd like us to continue people, you know, argument people say, oh, you know, a crypto is just as dirty as goals. but the gold market is several times larger. so on he, you know, per dollar transaction basis. crypto is a dirty currency. no. what you said about digital currencies is absolutely correct . i think that is where we are going, you know, and i was a central banker for a brief period. you know, not speaking as a central banker anymore. i have been for a long time, but central banks and governments will not allow private money in the end. the very success and the undoubted success of crypt occurrences and all of the issues you mentioned such as met reverse and the new digital natives are, you know, our next generations are the ones will step in and they will create central vantage to currencies which will then you know, per force either by force or buy, but by usage, irregular,

well relegated bitcoin and others to what it probably really is, which is a speculative asset class rob, again, and actually manifests. right. well, just for the sake of moving forward, i'd have to pick up from where you both of you agree, which is basically that digital congress is going to become a reality or in the future. and now then, and in the meantime, this is a new speculative investment, and this explains why people are looking forward to see more history and data to be able to see how the can predict in the near future. i mean, to be able to do that. what do we have to implement? are we talking about regulations, 1st of all, traceability of the, of the, of the transactions themselves for this to be adopted by the international institutions? well, i think it's really, fundamentally, people believe, and if it has value to the math population, i mean, obviously now there's a, there's a certain subset of the population being both retail and institution leave. that

equipment is worth the $35000.00 at the moment. then at one point it was worth $60000.00 until your, your mother or your father or your family believe in that as well. then we're always going to struggle with this all authority. and that's one of the reasons that, you know, the us dollar is, is, is so fungible and everybody accepts it, but it's accepted as a medium and exchange. and so, you know, the volatility around the exchange rate, all the other effects tend to go with us dollar as a reference point. in terms of traceability. you know, when we look at critical currencies in general, there are some very sophisticated players out there, or they're able to track pretty much where any of the big coins or any of the other crypto currencies have been, are going, you know, the days of this being completely anonymous or even pseudo anonymous are pretty much come in, and most of it is fairly traceable at this point. now, why is it taking government so long to cope with this new reality? that's true to congress is have to become part of the daily financial transactions

. i think it's for governments to react. and historically looking at these particular histories of money and how many different card yet or currencies existed. it actually takes quite some time for regulators to get complete handle on this thing. and if you look at, especially in the u. s, i think the fact that we have companies like coin base and a number of other companies being listed on the us exchanges. and then this training trend is highly likely to continue, especially when war 3 giants like goldman sachs, j. morgan, city bank. and all of these banks are actually offering this particular asset class, whether that's a speculative other that's considered as a store of a while. you really stems the case for the crypt occurrences to flourish from here onwards. brian, should we, there is another argument which is basically why don't we focus this time more on stable coins as

a bridge between the somehow stable assets like the dollar and the gold and the curb to currencies. and when we build that trust, it was paved the way for crypto currency to further thrive in the future, and people to build trust, trust with it. so the problem with stable coins is not all stable coins are stable . there is different kinds of stable kinds. the big one, we all know about his tether and there are no persistent questions about the actual backing for tether. the way in which tether operates and its relationship with some of the larger players. this is well documented. there are other crypto stable coins out there that are backed by commodities. and of course we know there are commodity cycles and super cycles. if you have a crypto currency, which is fully transparently 100 percent, but by, you know, let's say euro's it's a problem in search of the solution. what, what i just used euro's directly sort of going through an intermediary. and so i

don't think stable coins are the are the solution. ok. they may help some people to mitigate their volatility. but they're not, you know, they're not the solution to are you know, why criptos are knocking adopted the criptos will be adopted. widespread when you can pay your taxes in them, it's not going to get a coffee. ok then, and we've seen moments where, where in el salvador, you know, crypto libertarian fans have said, oh, you know, just let people use crypto and you'll see step to peer currency is, will be abolished and the hunt. alright. there's that. and now when you look at most of the government, including the u. s. a thinking about the post cove with reality is in terms of how to tackle in inflation and also to how to move beyond the stimulus packages that was translated immediately with this are urged by most of the investors to look for new equities, the more attractive to high tech companies,

and this explains why somehow they are really staying away from risk and when it comes to risk. this explains why the crucial currency is paying the price. what should the capital currency industry itself do to be appealing to the investors? why then to a certain extent, the fiscal policy and monetary policy of the us government is, is outside of the control of everybody besides the us government and regulators. i think, you know, what we've seen in the crypto industry over the past few years has been relatively impressed. impressive for 2 significant areas. first of all, there's a lot more professionals that are getting into it. i mean, here in singapore constantly, we're hearing of bankers that are working for large financial institutions and shifting over to triple crypto. so it is professionalized and quite a bit. and that's the effecting the 2nd part which is the solutions that they bring into market. i mean, a lot of these are, are developed by industry professionals who have a very clear idea of what's happening in market. so i think the sophistication of the platforms that are coming out and the crypto companies that are coming out is,

is quite a bit different than we saw the last run up in maybe 20172018. so i think it kind of signals the new market for a crypt on a new level of maturity for the industry. but at the same time, it is, as you mentioned, a very high risk asset, so long with tech stocks and other other asset classes. we've seen them taken beating over the past couple of months as far as the government in the us has gotten more hawkish, certainly fiscal and monetary content. that would be interesting to see how that took us. it would be able to manage this dramatic slide. and i am a slam and zin an capron bryan lucy, i really appreciate you inside and looking forward to talking to you in the near future and thank you to for watching. you can see the program again anytime visiting our website and dot com for further discussion. cuz our facebook page at facebook dot com forward slash a j insights for you can also join the conversation on twitter. i'll 100 is at a j insights photo for me. how sure about the entire team here in doha bye for now

. the ah me being a refugee when starting again. ah, but building a new life in a new country is no easy task. whatever dr. witness follows one of the la refugee families from syria to be granted an american visa. from their personal sacrifices to the families priam. i meet the syrian on al jazeera

for quite a few decades. casa, has been dealing with political and economic turmoil, and its people struggle to access essential needs, like adequate quantities of potable water, a sufficient number of beds for pregnant mothers, and limited access to up to date information for students. and in huzzah, the ground water is not sufficient to meet the daily needs of all of its residents . this led to the development of the new water treatment facility and hun eunice slowing down further pollution. the extension of, as if, as medical facilities was accomplished to provide expectant mothers with a safe and reliable opportunity to get the care they needed. the kuwait library at the university college of science and technology is not only a repository of knowledge but an access point to the world beyond.

ah, bold and um, told stories from asia and the pacific on al jazeera. ah, this is al jazeera ah hello, i'm adrian finnegan. this is but he is alive from doha, coming up in the next 60 minutes. so just in burkina faso stage on uprising against the government, the defense ministry says the situation is on the control. the 1st visit by a taliban delegation to europe since seizing power off galveston al jazeera learns that the ghost.