According to Crypto Rover, China's property market has lost $18 trillion in value since 2021, a figure that now surpasses the total losses incurred by the US during the global financial crisis (source: Crypto Rover, Twitter, June 23, 2025). This unprecedented real estate collapse is expected to further erode investor confidence and may drive increased capital flows toward decentralized assets like Bitcoin (BTC) and Ethereum (ETH) as traders seek liquidity and safety outside traditional markets. The massive property downturn signals heightened volatility across global assets, with potential for renewed interest in cryptocurrencies as alternative stores of value.

According to Edward Dowd, ratings agencies assigned AAA ratings to certain tranches of collateralized debt obligations (CDOs) before the Global Financial Crisis (GFC), highlighting how reliance on external ratings can mask underlying risk (source: @DowdEdward on Twitter, May 14, 2025). For crypto traders, this historical failure underscores the need for robust independent risk assessment in decentralized finance (DeFi) products and tokenized debt instruments, especially as more traditional financial products are being recreated on blockchain platforms.