China’s Central Bank Prioritizes Development of Digital Currency

[dul48]

China’s central bank, the People’s Bank of China (PBoC) announced that it accelerated the development of its cryptocurrency.

In an Aug. 2 statement, PBoC summarized the proceedings of a video conference, in which the bank conveyed the Party Central Committee and the State Council priorities on economic and financial initiatives ranging from monetary policy to support for small businesses.

PBoC suggested that it should accelerate the research and development of its digital currency. Furthermore, the statement also indicates that much attention should be also given to other domestic and foreign cryptocurrencies.

Additionally, the bank said that it should strengthen financial risk remediation as well as its policy propaganda interpretation and respond quickly to social concerns.
https://cointelegraph.com/news/chinas-central-bank-prioritizes-development-of-digital-currency

[timerland]

I'd probably move this to the press section. Not really bitcoin discussion, as it's more talking about crypto news.

China's always been fast to adapt to their own variations of things. You can compare their current payment processors (Alipay and Wepay to Apple and Google pay) as an example of their ways of adaption.

It's pretty good that even though China has banned decentralized coins that include blockchain technology, they still understand that blockchain technology is crucial for the future and they are trying to take advantage of it.

I'm not so sure about the government controlling all of this though. I'd much rather prefer the companies like Wechat and Alipay to control these new payment options and then be able to directly implement these new payment systems into the country.

[bolawin]

Bullish sign ?

[pooya87]

this seems to be turning into a trend:
1. put pressure on bitcoin adoption but not ban it
Venezuela did it with their taxes and prevention of mining equipment imports, India is doing it, China has been doing it, Iran has been doing it,...
2. start up your own cryptocurrency
all these countries have been doing it publicly or silently. China seems to be in this step.
3. sell it to the masses
Venezuela already released theirs.
4. profit?

[Darker45]

China is really monitoring the cryptocurrency development around the world very closely. When CZ mentioned that china is on the process of developing their own digital currency based on Yuan and that it could even be launched ahead of Libra, the thing that immediately came off on top of my head was that china always wants not only to be in the race but also win it. Libra is certainly one of those reasons why china is pushed to pursue its own digital renminbi.

China is very much aware that the digital age is coming into the realm of currencies and given its vivid hunger for world domination it always wants to be at the center stage.

[slaman29]

The Bank of China move was big enough in my opinion but this one takes the super cake. This is the state directive, more importantly the party is backing this openly which means it is only a matter of time before crypto becomes recognized. Bitcoin should then be one of the first things they look to accept before anything else. Far in front of US I would say?

[avikz]

Bullish sign ?

Nope!! Just a push towards digital economy and remain relevant for the years to come! Even Indian government has also started research and development on digital rupee as suggested by the last draft bill on digital currencies. But there's nothing to be excited about because whenever governments will release any type of digital currency, they will just be a digital representation of their strictly centralized currency system.

[arpon11]

Bullish sign ?

This is a bullish signal for some of us that has been witnessed market reactions from that part of the world! Chinese’s traders will see this as good news and re-enter the market again after the government and the people bank of China authorities has been fighting cryptocurrency and digital currency! I can see bitcoin reacting to this already as the last four hours candlestick is green and the longest since three weeks ago.

[BrewMaster]

the "blockchain" buzzword has spread everywhere not just with random people and companies but also with the governments and the banking cartel. they also see the potential of making a ton of money and at the same time remaining in the competition.
this is their second stage of denial. the first was putting bitcoin down as too small and not a concern. the second is trying to copy it and the third will probably be the full on fight and finally it will end with their demise.

[Kakmakr]

It is obvious that China wants to develop a currency that are centralized and managed by the government, because they want to control every aspect of their citizens. They want to know how much money you have and how you spend it and who is sending what amounts of money to other countries.

They cannot do all of this with Fiat currencies, so a digital currency is the best tool for this. So expect a "GovCoin" to be developed soon, that would be 100% controlled by the Chinese government. 

[timerland]

this seems to be turning into a trend:
1. put pressure on bitcoin adoption but not ban it
Venezuela did it with their taxes and prevention of mining equipment imports, India is doing it, China has been doing it, Iran has been doing it,...
2. start up your own cryptocurrency
all these countries have been doing it publicly or silently. China seems to be in this step.
3. sell it to the masses
Venezuela already released theirs.
4. profit?

Haha. I agree. Looks like a lot of countries like the ones you mentioned are going through the process of pressuring blockchain technology, and bitcoin due to its decentralization aspect - then they use the same blockchain technology to make their own crypto coin and then make it their own, easily controllable, national cryptocurrency. Could see an Indian and Iranian based crypto coming in the future.

China is really monitoring the cryptocurrency development around the world very closely. When CZ mentioned that china is on the process of developing their own digital currency based on Yuan and that it could even be launched ahead of Libra, the thing that immediately came off on top of my head was that china always wants not only to be in the race but also win it. Libra is certainly one of those reasons why china is pushed to pursue its own digital renminbi.

China is very much aware that the digital age is coming into the realm of currencies and given its vivid hunger for world domination it always wants to be at the center stage.

China's digital advancement over the years has been insane. They've dominated a lot of the markets, electronics, payment processors and are now chasing the next big thing - centralized cryptocurrencies, issued by the government.

Bullish sign ?

This is a bullish signal for some of us that has been witnessed market reactions from that part of the world! Chinese’s traders will see this as good news and re-enter the market again after the government and the people bank of China authorities has been fighting cryptocurrency and digital currency! I can see bitcoin reacting to this already as the last four hours candlestick is green and the longest since three weeks ago.

Very much so. China is investing in cryptocurrency technology is one of the best things an asian investor can hear.

[bittraffic]

They are up to rule the world and they are good at it. Its not wonder now there are huge projects coming form them, the one that I saw yesterday was the Goose Q project which is related to logistics. There are several projects like this before but this one seem to be one of the major player in China and there is a big community of it which includes the truck drivers.

[jake zyrus]

They're obviously interested in cryptocurrency... But most likely, government would create their own digital currency than supporting bitcoin. Of course, it would be a centralized one and will completely control and regulate it.

[Artemis3]

They're obviously interested in cryptocurrency... But most likely, government would create their own digital currency than supporting bitcoin. Of course, it would be a centralized one and will completely control and regulate it.

That would kill it from the start. Hopefully they won't copy paste the Petro fiasco, the Chinese are smarter than that...

Unfortunately it is very hard for a institution, or government to not come with something centralized (garbage). Even Zuckerberg did, being private and all...

But their fiat is already in a quite good position, i see little point for this unless they want to go cashless, and simply want a digital yuan or such. Perhaps some "stable" coin that is backed with the yuan by their central bank.

[dothebeats]

Another take at centralization and a subtle way of trying to extend the reach of their power without people actually knowing what that purpose is. If this is their way of extending their economic power then they're at it: striking while the iron is hot and they're actually successful in doing so. I'll be more interested with the developments of this from China as they tend to be the most fickle-minded country in terms of crypto--whether it's their own creation or any other crypto that they want to regulate in their soil.

[jostorres]

Bullish sign ?

That is going to be a bullish sign for the general cryptocurrency market, although they will work more with their local currency, but if they really want to make it cryptocurrency as they claim, they have to also pair it with other available cryptocurrencies in the market which will quite favor bitcoin more, except maybe they want to use Ripple, being that it is already recognized as banker’s coin.

Though I doubt if china will ever come out with a decentralized cryptocurrency, if they don’t come out with it, then there is chances that their coin might not really function well and gain that much popularity as much as bitcoin got. Bitcoin till date remain the best of all coins because of its decentralized technology, so people would still prefer to use bitcoin other than any other currency ever created.

[pjcaruci]

Apparently soon need to move to China, because they will soon turn into a cyberpunk country 

[proTECH77]

Bullish sign ?

Agreed because the market has just turned bullish base on my opinion. Although to some of us here they will not consider this as a bullish sign because they have been starshing for a long time. With thus news from the government of China we should be experiencing a bullish that will give another ATH. Kudos from the Chinese government that take the bull by the horn.

[marcelolevy]

this seems to be turning into a trend:
1. put pressure on bitcoin adoption but not ban it
Venezuela did it with their taxes and prevention of mining equipment imports, India is doing it, China has been doing it, Iran has been doing it,...
2. start up your own cryptocurrency
all these countries have been doing it publicly or silently. China seems to be in this step.
3. sell it to the masses
Venezuela already released theirs.
4. profit?

The currency of Venezuela is as bad as its representing Maduro dictator

[Saltius]

Think of this:
Written in chinese textbooks, the commie party of China always claims that western democracy is fake one, only the democracy under commie party lead being the true democracy in the world.

Thus I won't be supprised that China gov be about to start educating its subjects that decentralized means chaoes and crimes.
So the keypart of the newly issued national digital currency would be that the commie party to be the centre of it.