[2017-11-05] China is developing its own digital currency

[roddy5]

I think China and Russia are just vocal about their future plans for crypto currency, but it is impossible if the rest of the big countries don't have any plans or if they are not yet developing their own crypto currency. This kind of news might have a negative effect on bitcoin's current prices since this news only means that countries are trying to produce their own crypto based on bitcoin but bitcoin is not mainly a part of the plan.

[Coffee135]

I think China and Russia are just vocal about their future plans for crypto currency, but it is impossible if the rest of the big countries don't have any plans or if they are not yet developing their own crypto currency. This kind of news might have a negative effect on bitcoin's current prices since this news only means that countries are trying to produce their own crypto based on bitcoin but bitcoin is not mainly a part of the plan.

No negative impact on bitcoin is not the cause. I can confidently say that any state of the cryptocurrency will not be supported by the community. Bitcoin is not just currency. Is freedom. Those who believe in Fiat money? The same will be relevant to public cryptocurrency. States can create the conditions under which this currency will have a value for internal use only.

[Lukas Tarantas]

And why then the Chinese government banned the exchange?

[wilhb81]

I'm not surprised if China develops their own digital currency, since it's easier for the China's government to centralize and control their own digital currency, which they cannot do it, if it's a decentralized cryptocurrency, such as Bitcoin.

[Gregmall]

I believe what China really wanna do is make a cryptocurrency they can control.
This is they main reason they are banning Bitcoin Exchange. They actually wanna be in control.

[gorodi]

Financial analytics suppose also that the historical maximum of Bitcoin growth that was fixed in November, 2017 is closely connected with Chinese crypto exchange Zb.com. Experts are sure that crypto of China called LCFHC is the birth of a new financial system.

[kimochidesh]

China always tries to encash the new opportunities by generating their indigenous version and tries attract their own community towards it. Like Chian has RENREN so-called "Chinese version of Facebook" and Chinese use 'Wechat' instead of Whatsapp. So, in the same way, China again tries to develop their indigenous version of digital currency. This helps their economy self-dependant and strong at global level.

[DarkAce]

And why then the Chinese government banned the exchange?

1.China goverment want to control in my hand.
2.If china gov.do not control exchange,chinese money away to other country from china by crypto exchange,and Chinese yuan(RMB) falls against the US dollar.
3.IF Chinese yuan falls against the dollar,China people angry and cause a riot.
4.If happen to cause a riot many place in china,china gov.worry !

[placergold]

Sounds stupid to me. China develop its own coins, what's the point of it? use it instead of RMB? lol

[Opquar]

Sounds stupid to me. China develop its own coins, what's the point of it? use it instead of RMB? lol

The answer you are looking for is right there in the article:

Digital legal tender can help bring down transaction costs, extend financial services to rural areas and increase the efficiency of monetary policies, according to Yao Qian, who leads the research at the People’s Bank of China (PBOC), the country’s central bank.

[Domenc]

So this might be the real reason behind the ban of bitcoin in China . All other allegations about spams and dark web were just the  side reasons why they wanted to reject and ban bitcoin in their country . The main and the foremost reason was to create their own crypto currency and use it in a way that centralized banks also don't get affected by that and their currency is regulated entirely by banks . Using another currency for services is a  very clever and smart move by China . Ive heard recently that India is also planning to launch its own digital currency .

[Babyfaceless]

we do not have to worry that china will build their own currencies because they are hardworking and even in their country there is a problem they can quickly resolve.

[Hatat]

And why then the Chinese government banned the exchange?

The government does not want the people losing money from currency trading.