It is hard to imagine that Yang Yongxing, the former stock god and shrewd man, would suffer a loss of 800 million in the cryptocurrency world? Is the cryptocurrency world really too dark? Is Yang Yongxing not smart enough because he has been away from the front line for too long? Or is there something else that we outsiders cannot know? How should we view this matter?

Who is Yang Yongxing?

The reason why this matter caused heated discussion, in addition to the so-called 800 million dispute, is also closely related to the special label on Yang Yongxing.

Between 2006 and 2007, Yang Yongxing turned 1 million yuan into 100 million yuan in 16 months, becoming famous overnight. In the 2007 stock trading competition held by Chaoyang Yongshou, a private equity data website, Yang Yongxing, who was only 25 years old, won the championship with a return rate of 1497%, far exceeding other private equity funds and securities companies' collective wealth management that participated in the competition. With the performance achieved in the stock trading competition, Yang Yongxing issued the first trust product "Strategy Master" in March 2009. The net value of this sunshine-operated product increased by nearly 200% in one year, making Yang Yongxing a legend in the sunshine private equity market. In December 2009, Yang Yongxing issued another sunshine private equity "Yongsheng Huiyuan Steady Value-Added".

In that era, Yang Yongxing was known for his keen sense of smell and good at trading. He had performed the myth of the A-share market many times and was regarded as an A-share trading legend.

However, in 2011, the media reported that Yang Yongxing was taken away to assist in the investigation for suspected illegal operations, and Shenzhen Zhengtong Tianxia Technology Co., Ltd., which he founded, was also dissolved. Although Yang Yongxing himself later came out to clarify that he had never been investigated by any department, since then, only the legend of Yang Yongxing has remained in the world, and few people in the media have mentioned him.

Of course, after Yang Yongxing left the secondary stock market, he was not idle. Public information shows that Yang Yongxing has since begun his career transformation as a professional investor, and has set his sights on the primary market, such as focusing on the popular VR field, and investing in companies such as Zhongke Jinjing Vision Technology (Beijing) Co., Ltd. and Zhongke Weishi Technology (Beijing) Co., Ltd. In addition, Yang Yongxing also initiated the establishment of Shenzhen Baota Public Transport No. 1 Investment Partnership (Limited Partnership) with Sun Hengchao, the richest man in Ningxia and chairman of Baota Petrochemical. However, in December last year, Baota Petrochemical was investigated for suspected bill fraud. Simply put, Yang Yongxing's performance in the equity investment market is mediocre, far less than his success in the secondary market.

The cryptocurrency circle has become another testing field for Yang Yongxing.

"Because of its relevance to the concept of Bitcoin, Xunlei's stock rose sharply in October 2017, so I started to think about what I should invest in this area." Yang Yongxing publicly stated in a media interview that he initially wanted to invest mainly in mining machines, but felt that he was a secondary market person and that it was not his style to get a bunch of fixed assets, so he started to do some fundamental research and found that cryptocurrency brokers were at the top of the entire value chain, and cryptocurrency brokers were the so-called digital currency exchanges. Following this logic, Yang Yongxing approached Xu Mingxing and took 1% of OK Group's equity, becoming a shareholder.

From the above experience, it is not difficult to see that Yang Yongxing's investment in the primary market is either to follow the trend in popular fields or to move upstream and fight for a place in places with more voice. His wisdom is still as good as ever.

In fact, Yang Yongxing's involvement in the cryptocurrency circle is far more than just speculation. The cryptocurrency self-media One Coin, which first broke the news of the 800 million yuan dispute, is actually another tentacles of Yang Yongxing's involvement in the cryptocurrency circle. Tianyancha shows that the name of Shenzhen Yongsheng Huiyuan Investment Co., Ltd. appears in the list of shareholders of Shenzhen Three O'clock Information Technology Co., Ltd., the operating company of One Coin. Yongsheng Huiyuan holds 16.97% of the shares and is the second largest shareholder. Yongsheng Huiyuan is the platform that Yang Yongxing used to issue the Sunshine Private Equity.

Yang Yongxing also has a hand in the mining machine field. He is also one of the shareholders of the mining machine manufacturer Ebang International. Ebang International submitted a prospectus to the Hong Kong Stock Exchange in June last year, but there was no progress in the listing after submitting the prospectus, and the status was shown as invalid. Ebang International was also exposed to be involved in the illegal fundraising case of Yindou.com.

What’s interesting is that Yang Yongxing, who has been involved in so many muddy waters, still insisted in an interview with the media that he was just an ordinary investor.

“Ordinary investor” Yang Yongxing: Where will justice go?

Yang Yongxing said that after opening an account at OKEx in early 2018, he bought 100 million OKBs at a price of about $1. During this period, Yang Yongxing doubled his profits, and his digital currency assets increased from the initial 800 million yuan to 1.6 billion yuan. He sold digital currency assets worth 800 million yuan and transferred the funds out of the OKEx account.

However, when logging into the OKEx platform on March 22, 2018, he found that his account was "frozen", but there was still profit from his investment in digital currency, about 31 million USDT and 28 million OKB, worth about 800 million yuan.

We know that OKB is the platform currency issued by OKEx in March 2018, with a total of about 1 billion. 10% are sold to institutions, 50% are distributed to users for free each year, 10% are used for foundation operations, 10% are purchased by early shareholders, and 20% are held by the team. According to the information released by the OKEx platform, the current circulation of OKB is 300 million.

If Yang Yongxing's statement is true, he purchased 100 million OKBs through multiple accounts at the beginning of OKB issuance, which is almost equivalent to controlling the circulating supply. This is a magnitude that ordinary people can hardly imagine. If this is true, people seem to vaguely see the shadow of stock market tycoons coming to the cryptocurrency circle to make money.

Interestingly, Yang Yongxing, who was suspected of being a banker and profiteering, resolutely took up the scythe of justice in this 800 million yuan dispute. "When I said that OKEx had embezzled customer funds and that there were major problems with its trading volume, many people scolded me." Yang Yongxing said that most of these people were small retail investors in the cryptocurrency circle, many of whom traded on the OKEx platform. They would not thank him for exposing OKEx, because the end of OKEx would not benefit them at all, but some rational cryptocurrency investors expressed their gratitude and support to him.

Isn’t this comparison a bit ironic?

In response to the details mentioned by Yang Yongxing, OKCoin founder Xu Mingxing said on Weibo that this was a modern version of the story of the farmer and the snake, which was "made out of nothing" and "fraudulent." "Yang Yongxing was not satisfied with the 1x investment return and repeatedly demanded unreasonable multiple excess returns. After being clearly rejected by the company's board of directors, he began to falsify facts and attack me and OKCoin."

In fact, the current mainstream trading platforms such as Binance, OKEx, and Huobi, whether in terms of market capitalization or transaction volume, are far more than 800 million. As an outsider, I think that no matter how much they compete, onlookers don’t need to worry that the 800 million level will be able to break through the circulating market and kill the liquidity of these mainstream trading platforms. It is even more unnecessary to worry that these platforms will collapse as a result.

On the contrary, what we should worry about and restrain is our own desires. In the blockchain industry, no one can represent justice except the technology itself.

In the BSV delisting dispute in the first half of this year, the author emphasized that the call for respect for the "purity" of technology should become a valuable quality for all exchanges looking to the future in the current chaotic blockchain industry. At least at present, the blockchain industry is far from having verified that a certain technical route is absolutely correct and can lead the industry to great development. This also means that allowing more technical routes to develop, trial and error, and even falsify is a necessary stage for the long-term development of this industry. Any individual or platform that attacks and kills in the name of respecting users is a manifestation of a lack of respect for this industry.

Similarly, any individual who, in the name of justice and exposure, is involved in tangled conflicts of interest is showing a lack of respect for this industry. In a bull market, everyone is busy making money, and even a 100% return is considered a huge loss; in a bear market, everyone has more time to engage in disputes and make trouble. The world is bustling with people, all for profit, and there is no essential right or wrong or difference.