The Evergrande Company
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Evergrande Group was founded in 1996 by Xu Jiayin it is the second-largest property developer company in China with projects develop in more than 170+ cities in China in 2018 it became the most valuable real-estate company in the world.
The company today is known as the world market indebted property company with a liability balance sheet of nearly 2% of China GDP, the company has been left with a debt payoff of $300 billion which have been accumulated over several months
Global impact on the market
Following a fallout of over 80% drop in the Evergrande stock market, the crypto market has witnessed a plummet in price as more stock continues to slide down in price.
The S&P 500 have recorded a sharp decline in price since May with a 1.7% decrease in market price.
Bitcoin the largest crypto by a market cap made a down of 6.4% with ethereum down with 8.6% below $3000 singe August other major altcoins like ADA made a 6.6% down with Solana down with 13%.
Every other altcoin has virtually been red recently with over $1.2 billion been liquidated from future trading due to high leveraging, traders have bet on future price increase which has caught most of them unaware due to the sudden market crash.
There seems to be some positive news as chine central bank would be intervening by supporting the Evergrande company although this is mere speculation.
Many seem to believe China's policy on company regulations has been a major factor for Evergrande plummet in price.
Huge drop. Dramatic.
Posted Using LeoFinance Beta
Sure, it is hope we get market recovery soon.