China Becomes First Country in the World to Test a National Cryptocurrency

[nonlinearboy]

Could you post the source? 

It is not so convince without providing the source of these news. All I can see just some comments and thoughts on the policy of the China central bank.

[shifty30]

Chinese goverment will own total supply at first.

and it will be heavily regulated and all other coins will be banned thats how china rolls

[slaman29]

A country that is still experimenting with a Maoist ideology would actually like the concepts of Bitcoin, and perhaps see the benefits of a cryptocurrency. What will always be interesting is to see how they might manage a centralised crypto. Up to now, it is usually the blockchain technology that interests central systems. Russia, China and India will represent more than 1/3 of the world.

[Spoetnik]

Canada did this well before 2013 and abandoned it selling of the rights to it.
It had something to do with a memory card I think and was called e-coin I think.
I think I seen a story on Coindesk years ago..

[ethersphere]

It's already been done with USDT isn't it - pegging USDT to reserve backed dollars. The same can be done with virtually any currency (yuan-tether, but issued and backed by the Chinese govt)

[Plie]

I thought Russia did the same, but since you tell it is the first time I guess I was wrong.

[kryptqnick]

Over 260,000 stores in Japan will begin accepting Bitcoin as legal tender this summer, and big banks like Santander have announced plans to develop their own version.

The ideas of using cryptocurrencies for charity seems good but I don't understand the line above on Japanese stores. Aren't the stores supposed to receive the money transfer confirmation? What to do with btc long confirmations in a store? Take the risk?
As for Chinas own cryptocurrency - I guess it is an attempt to take cryptos under control in that region and, as it is impossible to control bitcoin, the government wants to overcome it.

[DRaGoN RaNTaRo]

It is an interesting article,people of China will be having a centrally controlled crypto currency by the government ,it is a good possible prototype and lets see how it could change how things are done,how many countries will come up with these sort of ideas so that we will have a forex market to trade centrally controlled digital currencies.

[asepsetiawan1990]

This news gives a new breath in the world of cryptocurrency. Where the new space for cryptocurrency continues to roll in the eyes of the world. But from another point of view.
I still see there is a delay in the development of cryptocurrency in some countries. Especially countries with slow technological developments. This is a homework that does take time to process the development of cryptocurrency in this world.

[TrumpD]

end of road for all coins

Let wait and see, It was bound to happen but I doubt if it is all doom and gloom. There is no way the Chinese government will create a coin they have no control over. If the tokens are centralized and unlimited, I doubt it will affect bitcoin much. Bitcoins decentralized and limited nature gives it an advantage. Other unlimited and centralized tokens may have huge problems when countries and banks develop their own coins.

[Esphere.in]

end of road for all coins

Yeah,just what i thought about,it just shows you have no clue why people are interested in crypto currency in the first place,if not people would be investing heavily into forex and other forms of investments,rather there are many people coming into crypto currency because the government all over the world does not have any role in the entire process.

[bitcoinvestor]

If China make succesful with national crypto I think other countries will follow China's policy. How about bitcoin and altcoins if all country has National Cryptocurrencies? I think there will be harder competition among developers. Coins that are only pump and dumb sooner or later will die. What's the best investment then? National Currencies or existing altcoins?

[Spoetnik]

If China make succesful with national crypto I think other countries will follow China's policy. How about bitcoin and altcoins if all country has National Cryptocurrencies? I think there will be harder competition among developers. Coins that are only pump and dumb sooner or later will die. What's the best investment then? National Currencies or existing altcoins?

Mmm hmm like AUR? 

So much NOOB here hahhahahahhaha
They don't even know "country coins" use to be a thing ROFL.

WHAT NEXT COLORED COINS? HHAHAHAH

[findingthemoon]

Well I don't know the source of this article but it makes sense for governments to experiment with national cryptocurrencies seeing as how much success the market has had. I also don't think its necessarily a bad thing for the current selection of altcoins because it will inevitably just be tied up to the Chinese yuan and be another way for people to spend their money instead of lugging around lots of cash.

[layoutph]

Will the China's crypto currency available on trading platforms like Poloniex or Bittrex? I dont think so. It must be a centralized coin! I dont think it will workout or to be bought by Chinese people unless they ban Bitcoin and required their people to use their crypto currency.

[renderkiss]

China's central bank has developed its own cryptocurrency, which is now being tested. Cryptocurrencies have the potential to not only benefit China, but the rest of the world, due to their basis in blockchain.
Benefits of Digital Currency
China’s central bank — the People’s Bank of China — has developed a prototype of a cryptocurrency that it could end up in circulation in the near future. It would be introduced alongside the China’s primary currency the renminbi (also called the yuan). China will be simulating possible scenarios and running mock transactions using the cryptocurrency with some commercial Chinese banks.
Click to View Full Infographic
The potential benefits of developing a digital currency are significant, particularly in China. First, it would decrease the cost of transactions, and therefore make financial services more accessible, which would be a big help to the millions of people in the country who are unconnected to conventional banks. Second, as it would be supported by blockchain, it has the potential to decrease the rates of fraud and counterfeiting, which would be of service to the government’s attempts to reduce corruption — a key concern. Third, it would make the currency easier to obtain, which would increase the rate of international transactions, allowing for more trades and faster economic growth.
The Rise of Cryptocurrencies
Since Bitcoin’s humble beginnings back in 2009 (when it was only valued at around 0.0007 USD) the digital currency, and the very idea of cryptocurrencies in fact, has grown monumentally. The total market cap of cryptocurrencies on April 1st of this year was over $25 Billion. A single Bitcoin is now worth more than $2,500. Now many national economies, as China’s plan shows, are considering the idea of developing their own variant.
Although China’s experimental approach to simulate a self-developed cryptocurrency’s usage is the first of its kind, other countries and institutions have made strides in that direction as well. The Deputy of Russia’s central bank has emphatically stated that “regulators of all countries agree that it’s time to develop national cryptocurrencies.” Over 260,000 stores in Japan will begin accepting Bitcoin as legal tender this summer, and big banks like Santander have announced plans to develop their own version.
Cryptocurrencies have the potential of revolutionizing not only the business world, but many methods of transaction. There has already been talk of using cryptocurrencies to administer Universal Basic Incomes due to their traceability, as well as for the delivery of human aid; the potential for which was demonstrated by a recent experiment to help refugees in Jordan by the UN.

that's it, after this test, whether it is succeed or not, it will be the first step for all countries all over the world to learn and make their own currencies, then they will ask everyone to use thoes currencies that they can take control of

[NUFCrichard]

Is there any word on how they would distribute the coin, and how they would protect against pump and dumps?
I guess a government can keep everything centralized and just swap Yuan for this BitYuan, but that will make it an unfair distribution.

Also how will it be mined? Is it PoW? I find the details of such a national currency very interesting.