I believe the whole situation must settle down over time. Some people will power down and sell, some won't. I'd give 3 months to work things out.
It is unknown what Justin S. has in mind.
My bet is:
After he establish full centralisation and hoard more tokens, he will introduce his version of Steem to mass adoption in China?
Would be crazy, but plausable.
Yeah, me and my wishfull thinking :)
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It may end up a more chinize version yes.