China's plan to sideline bitcoin

[bbc.reporter]

I reckon the People's Bank of China's does not appear to understand what the cryptospace is if their plan to sideline bitcoin is to issue a restrictive digital form of fiat. It will only be another token pegged to fiat that is similar to USDT. However, more dangerous.



The People’s Bank of China, the country’s central bank, plans to introduce a digital currency of its own. But unlike the decentralized blockchain-based offerings, this one could give Beijing more control over its financial system. It would enhance the PBOC’s ability to root out risks and crack down on money laundering. It could also give the government an unprecedented window into individuals’ private lives.

The currency would initially replace cash, PBOC Deputy Governor Fan Yifei wrote in an article earlier this year. According to patents registered by the central bank, consumers and businesses would download a mobile wallet and swap their yuan for the digital money, which they could use to make and receive payments. Crucially, the PBOC could also track every time money changes hands. Fan suggested in his article that banks would need to submit daily information on transactions and that there would be caps on transactions by individuals. The PBOC declined to comment.

The project was started by the former governor of China’s central bank, Zhou Xiaochuan, who retired in March. He decided to develop the digital currency in part to protect China from having to adopt a technology standard, like Bitcoin, designed and controlled by others.

Read in full https://www.bloomberg.com/news/articles/2018-12-13/china-s-plan-to-sideline-bitcoin

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[davis196]

"technology standart designed and contolled by others"
That's why China will never adopt bitcoin.The fear of using a foreign technology that might put their financial system under foreign control.This proves that the PBOC clerks don't understand how bitcoin/blockchain works.
Anyway,their "chinacoin" project is doomed to fail.

[squatter]

The People’s Bank of China, the country’s central bank, plans to introduce a digital currency of its own. But unlike the decentralized blockchain-based offerings, this one could give Beijing more control over its financial system. It would enhance the PBOC’s ability to root out risks and crack down on money laundering. It could also give the government an unprecedented window into individuals’ private lives.

I've been hearing rumors about the PBOC's planned digital currency since 2016, if not earlier. If they really believe they can "sideline" Bitcoin this way, they're sadly mistaken. They seem to think the draw of cryptocurrencies is merely about digital payment systems, but it's about much more than that -- financial sovereignty and censorship resistance, to name a couple things.

[Herbert2020]

i don't get how this is related to bitcoin! centralized currency (including fiat) is never going to have any effects on a decentralized currency such as bitcoin. in fact the design of bitcoin is in a way that it is not affected by them.
so the Chinese bank/government creating a centralized token is like them printing more fiat and will not change how people treat bitcoin. and unless they go at it with a full on ban of bitcoin nothing will change.

[Kakmakr]

GovCoins are very different to coins like Bitcoin and these coins are doomed to failure by design. You cannot expect people to trust a currency, where every single transaction they make, can be traced. <Even cash gives more financial privacy than that.>

These governments can even "block" individual transactions or reverse transactions from specific addresses, which is not possible with cash transactions. Why would people willingly give up their financial freedom to support these types of coins?

[Pursuer]

China or better said news from China has always been weird towards bitcoin so this doesn't seem to be a new thing either. not to mention that plans for creating a government coin is nothing new either and China is not the only neither the first country to do this!
considering Chinese banks have been banned from using bitcoin ever since 2012-2013 it is time for them to start doing something. and that thing seems to be them creating their own centralized token.
it won't change anything with bitcoin's adoption in China though

[apilpirman.bisnis]

Last month I got news about China want to allowing back bitcoin as transaction payment, I don't know is true or not because China have banned bitcoin first last one years, will be got positive news for China want to legal bitcoin again?

[BuyBuyBitcoin]

Nobody is stupid enough to trust a government released crypto.

If anything they all add value to bitcoin as a decentralized store of wealth.

Check the Petro and see how many people in Venezuela still buy bitcoin... there is a reason....

[bbc.reporter]

"technology standart designed and contolled by others"
That's why China will never adopt bitcoin.The fear of using a foreign technology that might put their financial system under foreign control.This proves that the PBOC clerks don't understand how bitcoin/blockchain works.
Anyway,their "chinacoin" project is doomed to fail.

Agreed. The Chinese government, never. However, the Chinese people, yes. I reckon that they have the most reasons to use bitcoin because of their restrictive government.

[KingScorpio]

bitcoin isnt great for china either, urban chinese will see their ressources wasted, for the miner aristocacy.

[gentlemand]

I reckon the People's Bank of China's does not appear to understand what the cryptospace is if their plan to sideline bitcoin is to issue a restrictive digital form of fiat. It will only be another token pegged to fiat that is similar to USDT. However, more dangerous.

And every other dunderhead poster here thinks the same thing. The number of threads that mention 'bankcoin will KILL Bitcoin' when all it will be is an infintely more toxic version of what there is already.

Combine China's social credit with this and they will have an absolute stranglehold over every conceivable aspect of everyone's lives. The 'enemies of the state' will find life totally unliveable.

In this scenario BTC would be a potential out, but even then if all the economy is Chinacoin and any traceable interaction between that and BTC happens then there goes the social rating of anyone who touches that too. It's going to be nightmarish and it's only just warming up.

[0t3p0t]

"technology standart designed and contolled by others"
That's why China will never adopt bitcoin.The fear of using a foreign technology that might put their financial system under foreign control.This proves that the PBOC clerks don't understand how bitcoin/blockchain works.
Anyway,their "chinacoin" project is doomed to fail.

I agree with you mate. China wants to control everything their people, they even trying to control neighboring countries and the world militarily and economically. The downside of it's own creation of this "ChinaCoin" might not becoming a trend even on their own country because enthusiasts, the people, investors and the cryptocurrency community  won't be hoarding that coin due to it's centralized features. We are here living in this decentralized industry where have the full control of our own assets not to be fooled what China is now trying to do. We started with Bitcoin so I think our future relies on it and no centralized digital money could give us financial freedom.

[bbc.reporter]

@gentlemand. However, I reckon the existence of restrictive bankcoins will also give more reasons for bitcoin and other open cryptocoins to exist. We should support chinacoin's development hehehe!

[gentlemand]

@gentlemand. However, I reckon the existence of restrictive bankcoins will also give more reasons for bitcoin and other open cryptocoins to exist. We should support chinacoin's development hehehe!

That's a bit selfish of us. Everything possible should be done to resist them. I don't think enough people can be bothered to think through the implications. Even in 'free' countries people are fucked by their credit scores. When someone can trace every penny of your expenditure things will get a whole lot more alarming.

[btc-room101]

I reckon the People's Bank of China's does not appear to understand what the cryptospace is if their plan to sideline bitcoin is to issue a restrictive digital form of fiat. It will only be another token pegged to fiat that is similar to USDT. However, more dangerous.



The People’s Bank of China, the country’s central bank, plans to introduce a digital currency of its own. But unlike the decentralized blockchain-based offerings, this one could give Beijing more control over its financial system. It would enhance the PBOC’s ability to root out risks and crack down on money laundering. It could also give the government an unprecedented window into individuals’ private lives.

The currency would initially replace cash, PBOC Deputy Governor Fan Yifei wrote in an article earlier this year. According to patents registered by the central bank, consumers and businesses would download a mobile wallet and swap their yuan for the digital money, which they could use to make and receive payments. Crucially, the PBOC could also track every time money changes hands. Fan suggested in his article that banks would need to submit daily information on transactions and that there would be caps on transactions by individuals. The PBOC declined to comment.

The project was started by the former governor of China’s central bank, Zhou Xiaochuan, who retired in March. He decided to develop the digital currency in part to protect China from having to adopt a technology standard, like Bitcoin, designed and controlled by others.


Jack Ma is now high-tech admin of china communist party, jack ma owns +90% of all crypto mining, & pools on earth, richest man in China, and now head of tech for CCP.

So what's the point of this OP? To distract? To suggest that they don't already own 100% of the crypto-universe?

The CCP already owns BTC, and has owned it 5+ years past. The CCP owns all alt-crypto mining hw & pools as well, the chinese cannot lose this game.

It's clear that BIS has designated China as NWO post USD collapse.


Read in full https://www.bloomberg.com/news/articles/2018-12-13/china-s-plan-to-sideline-bitcoin

[btc-room101]

China owns +95% of all crypto's on earth, so they don't care which one wins, they own them all, this is called a fully covered bet, they cannot lose.

bitcoin will fall below ripple in cap in 2019, the writing is on the wall, just like lotus-123, being first doesn't make you a winner forever, just once at the beginning

[Hunnykaushal31]

I reckon the People's Bank of China's does not appear to understand what the cryptospace is if their plan to sideline bitcoin is to issue a restrictive digital form of fiat. It will only be another token pegged to fiat that is similar to USDT. However, more dangerous.



The People’s Bank of China, the country’s central bank, plans to introduce a digital currency of its own. But unlike the decentralized blockchain-based offerings, this one could give Beijing more control over its financial system. It would enhance the PBOC’s ability to root out risks and crack down on money laundering. It could also give the government an unprecedented window into individuals’ private lives.

The currency would initially replace cash, PBOC Deputy Governor Fan Yifei wrote in an article earlier this year. According to patents registered by the central bank, consumers and businesses would download a mobile wallet and swap their yuan for the digital money, which they could use to make and receive payments. Crucially, the PBOC could also track every time money changes hands. Fan suggested in his article that banks would need to submit daily information on transactions and that there would be caps on transactions by individuals. The PBOC declined to comment.

The project was started by the former governor of China’s central bank, Zhou Xiaochuan, who retired in March. He decided to develop the digital currency in part to protect China from having to adopt a technology standard, like Bitcoin, designed and controlled by others.

Read in full https://www.bloomberg.com/news/articles/2018-12-13/china-s-plan-to-sideline-bitcoin

If they want to run it as per their standards then what is purpose of Decentralize 

[sehoon]

Wait, a digital currency for China? And the purpose of this is to protect China from foreign technologies? If I were a Chinese citizen why would I even bother using this digital currency? Of course I'll just do usual things when I do shopping because it does not make any difference because the government is still in control of it.

[Dana-pasar]

bitcoin will not be stopped, although China rejects the existence of bitcoin because it can destroy their business between countries, but China will never be able to stop it

[darklus123]

I've already expected this kind of act from the chinese government. We know how they act in terms of controlling power.

 
That's abit selfish of us. Everything possible should be done to resist them. I don't think enough people can be bothered to think through the implications. Even in 'free' countries people are fucked by their credit scores. When someone can trace every penny of your expenditure things will get a whole lot more alarming.

Exactly but since i don't want how the chinese control there people it is still better to never be involved with that digital currency when they will launch that one