JUST IN: Chinese Central Bank to Launch Digital Currency Called "DCEP"

[senne]

State backed crytpocurrency is a coming trend and will definitely be followed in many more countries.
Cryptocurrencies help in making transactions instant and paper less which can also be recorded securely and transparently on a digital ledger. You will have account of every transaction made which will help in curbing corruption at the bank level to a decent extent. Corruption at bank level is a problem in many developed and developing countries. Virtual currencies will make processes more efficient and streamlined. 

[justdimin]

How have they been studying it for 6 years?
Bitcoin is 10 years old itself, are they saying they have been working on this since 2013? I mean it is quite possible but do you really want us to believe that China has been studying crypto for 6 years and still scared of it instead of having billions of it.

If a whole nation had the chance to buy half of all the bitcoins because they think it is awesome (they must have since they made their own now) and they didn't buy it, it makes no sense.

I feel like they have been working on this since Libra deal so that when people start sending money via whatsapp or whatever they would have the same thing in their country which would make Chinese not need Libra and not use it and not make other countries money by way of paying fees.

[Lucius]

How have they been studying it for 6 years?
Bitcoin is 10 years old itself, are they saying they have been working on this since 2013? I mean it is quite possible but do you really want us to believe that China has been studying crypto for 6 years and still scared of it instead of having billions of it.

If a whole nation had the chance to buy half of all the bitcoins because they think it is awesome (they must have since they made their own now) and they didn't buy it, it makes no sense.

I don't see anything weird in fact that China is working on this project for the last 6 years, obviously it was not their priority and they want to make it as good as possible. They do not study crypto, but blockchain as the technology which enables such projects to be realized. I doubt this project aims to profit, but as some say to bigger control of domestic currency and possible cost reductions in domestic and international trade.

You should know that many have become interested in cryptocurrency and blockchain some 5-6 years ago, and Snowden has revealed to the public that US secret services were already working (2012/2013) on programs that would enable them to monitor and identify Bitcoin users.

Do not mix things, China is not interested in Bitcoin because there is no way to control it - and they did not make their own Bitcoin, DCEP can only be a centralized digital currency, which is the complete opposite of what Bitcoin represents.

[ufaiz50]

Is what is written by the journalist legit? Even 5-6 years have conducted studies in the development of the crypto project. WTH did not even have news about "PBOC has been studying" 6 years ago. Aside the reasons why this could happen, it is likely that in the near future the US will give a speech, because the country's rivals are making new breakthroughs in blockchain technology.

Whereas last week Alipay released the news, that they would block everything related to digital currency, in this case bitcoin and altcoin. I think China wants to benefit from the crypto market in their country, especially focusing on the Chinese community.

[wxa7115]

Most likely, other governments would also follow what China is doing. If they can't completely ban bitcoin, they have decided to might as well create their own, effectively "banning" bitcoin by having their own be used by their population. It's effective for them, but quite a threat for us. Even though not all countries do such thing, in the long run, it imposes a threat to decrease in bitcoin market demand. Unless people stay informed that these are centralized institutions and decide to steer off of it. But it would be hard to oppose the government though.

The reason they are releasing their own coin is that they know they cannot destroy bitcoin and if they let bitcoin to go unchecked then they know bitcoin will corner the market, these circumstances left them with only one option to take and that was to develop their own coin and create a competitor for bitcoin in the market, but as long as their coin has the same weaknesses as their fiat then bitcoin will keep thriving.

While it should be clear to anyone this is an attempt to stop the growth of bitcoin at the same time it will help it since more people will become proficient in the usage of wallets and will know how to transact with cryptocurrencies and will have no problem accepting bitcoin in the future.

[tippytoes]

State backed crytpocurrency is a coming trend and will definitely be followed in many more countries.
Cryptocurrencies help in making transactions instant and paper less which can also be recorded securely and transparently on a digital ledger. You will have account of every transaction made which will help in curbing corruption at the bank level to a decent extent. Corruption at bank level is a problem in many developed and developing countries. Virtual currencies will make processes more efficient and streamlined. 

This is actually good development in crypto community. For those countries who are banning and labeling crypto as illegal, they will now think twice of this action as China is getting more loose towards crypto. China is a big market so to speak and so its influence can be significant in the community.
Chinese realized their motto : "If you can't beat them, join them". So their banning and strict regulations towards crypto was already a past for China, they are now moving to the blockchain technology and this is very welcome development to the crypto community.

[boltz]

Seems that China have patiently study Blockchain over the years until they made their move which once again shows that Asians have such big patience when it comes to deliver something. I won't be surprised if DCEP will massively succeed at its launch whenever it will come. Now lets patiently waiting for Libra's USA decision and see what are they planning in order to rise to China cryptocurrency standards ...nice times ahead of us in cryptocurrency space.

[huige007]

Is what is written by the journalist legit? Even 5-6 years have conducted studies in the development of the crypto project. WTH did not even have news about "PBOC has been studying" 6 years ago. Aside the reasons why this could happen, it is likely that in the near future the US will give a speech, because the country's rivals are making new breakthroughs in blockchain technology.

Whereas last week Alipay released the news, that they would block everything related to digital currency, in this case bitcoin and altcoin. I think China wants to benefit from the crypto market in their country, especially focusing on the Chinese community.

First of all, no one really denies the power of crypto currencies especially bitcoin and the revolution that blockchain technology is. Governments play their cards according to their benefits. After looking at the present community of bitcoin and how fast it is grabbing attention, no one can avoid its existence anymore. China has tried to get control of bitcoin but failed. However, it cannot turn its back on blockchain and digital assets.

[Periodik]

This is an old news already. China has always been mumbling about creating its own cryptocurrency. But until now, this is still a plan and there is no concrete step yet that has been taken toward the actual creation of this state-sponsored digital currency. In fact, some analysts in the crypto field are saying that it will take many years before china will finally release their digital yuan. This news is going out in the open once again because of the announcement of the president.

[meliodas]

I am not surprised if ever their digital currency will be ever launched in their country as soon as possible. This is the product of the China's president for saying that they should adapt the blockchain technology and they are now taking actions to create their own digital currency, I hope that this will become a proof that blockchain techhnology is a real tech that every other countries should also adapt.

[SaShiRaJaVu]

Now that Chinese Government is boldly showing their development in issuing the world’s first state-backed digital currency, will other countries follow the same path? What could be its implications to Bitcoin and cryptocurrencies?

It was expected from the Chinese government because they were embracing the blockchain technology and now they are issuing their state sponsored digital currency and i am expecting more countries coming up with their version of digital currency in the next few years and it will be competing against each other and some might die off eventually as we know what happened to Petro.

[barabarian1]

A government controlled "digital" currency is centralized and not even close to a open, decentralized technology like Bitcoin. One of the main concerns with a "digital" currency in China is the fact that China would ban all other Crypto currencies to force their own citizens to use their own centralized currency.

It is clear that China only created this "Digital" currency, because they want to track their citizens wealth and spending habits. So this is just another "Firewall" type experiment to control their own citizens. 

yes i agree with you i think china is issuing its own crypto currency to track the wealth and shopping habits of its citizens. and also the Chinese government does not want its citizens to invest in other cryptocurrency like bitcoin and altcoin. they just want their citizens to use the cryptocurrency they make called DCEP. but I positively welcome the presence of DCEP will make the crypto market have many types of coins.

[suzanne5223]

Source

Now that Chinese Government is boldly showing their development in issuing the world’s first state-backed digital currency, will other countries follow the same path? What could be its implications to Bitcoin and cryptocurrencies?

Firstly, the article is some how miss leading because the national crypto coin which the Chinese government are planning to create name is yet to be release to the public while digital currency electronic payment (DCEP) is the name giving to team in charge of coin creation.
Meanwhile, I don't see any bad implications this will cause to tgw crypto market than to make the coming halving more flourish and I can see more country creating their own national crypto.

[posi]

Have read about the news but the Chinese government have been on this issue quite a long time and only few people know this in the crypto sphere and this was also the reason they partially ban Bitcoin in other to first make their national crypto thrive first before they fully support other crypto. But, this will definitely make other country like Greece which ought to have do the samething take a step forward and all thanks to the IMF boss statement.

[tenakha]

While the PBoC has yet to confirm the launch of "DCEP," China's finance tsar Huang Qifan says that the central bank has been studying it for almost six years

Huang Qifan, executive vice president of the China International Economic Exchange Centre, has confirmed that the People's Bank of China plans to roll out its own digital currency, which will be called "DCEP" (digital currency electronic payment).  

China Finance 40 Forum (CF40), the organization that focuses on finance policy research and academic exchange, published a video that features an excerpt from Qifan's speech during the inaugural Bund Summit that is taking place from Oct. 27 till Oct. 29.

Qifan reveals that China has been working on the project for about five or six years. After the launch of the DCEP coin, the PBoC will become the very first central bank in the world to issue its own cryptocurrency.

Tongues have been waggling about the state-backed Chinese digital currency for quite a while. As reported by U.Today, it could pose a serious threat to AliPay and WeChat Pay.

Latter, it seemed like the "China Coin" was temporarily shelved -- a source close to the Chinese Communist Party revealed that the cryptocurrency would not be launched anytime soon.

However, President Xi Jinping's embracement of the Blockchain technology has put China at the forefront of the crypto conversation once again. A senior Chinese official also opined that Blockchain needed "special attention" after Xi's comments.

At this point, China is poised to become a leading crypto force despite formally opposing it. Bitcoin remains banned in China despite the fact that local miners are responsible for 70 percent of its hash rate.  

Source

Now that Chinese Government is boldly showing their development in issuing the world’s first state-backed digital currency, will other countries follow the same path? What could be its implications to Bitcoin and cryptocurrencies?

It is not surprising that China is one of the first to act in this regard.

Actually, there were government backed coins created by Venezuela and Iran before it, but I do not think they made good progress. I guess this is something that resulting from their own econpmic situation. However China is a developing country, and innovative additions will have a positive impact on its economy.

Even if other countries do not want to, they will not want to be left behind. With the development of the surroundings, they will not be able to stay as they wish, and when the time comes, they will be forced to do the right thing.

[Wintersoldier]

Now that Chinese Government is boldly showing their development in issuing the world’s first state-backed digital currency, will other countries follow the same path? What could be its implications to Bitcoin and cryptocurrencies?

It was expected from the Chinese government because they were embracing the blockchain technology and now they are issuing their state sponsored digital currency and i am expecting more countries coming up with their version of digital currency in the next few years and it will be competing against each other and some might die off eventually as we know what happened to Petro.

It still depends, because even though they have their own crpyto it doesn't dictates that they should utilize it, not all of the citizens of China will embrace the cryptocurrency they've created unless it will be mandatory set by the government. Most of the times, citizens will choose to pick the best crypto that will catch their attention. It is indeed, having a positive impacts even to us as more market adoption will take place because of the Chinese news concerning cryptocurrency adoption.

[hello_good_sir]

How have they been studying it for 6 years?
Bitcoin is 10 years old itself, are they saying they have been working on this since 2013? I mean it is quite possible but do you really want us to believe that China has been studying crypto for 6 years and still scared of it instead of having billions of it.

During 2012-2014 was when most countries started to pick up on bitcoin as a currency, it was when it first got some mentions on news sites, got integrated on some online sites and was actually worth something, I'm assuming during that time was when it was noticed by governments and kept a close eye on. Looks like China are early adopters

If a whole nation had the chance to buy half of all the bitcoins because they think it is awesome (they must have since they made their own now) and they didn't buy it, it makes no sense.

Don't think China was ever interested in Bitcoin, more the tech behind it - they hate decentralization.

I feel like they have been working on this since Libra deal so that when people start sending money via whatsapp or whatever they would have the same thing in their country which would make Chinese not need Libra and not use it and not make other countries money by way of paying fees.

Is it me or does Libra's downfall, and a week later China releases their own crypto-currency feel like strategic timing..?

[Kemarit]

This is an old news already. China has always been mumbling about creating its own cryptocurrency. But until now, this is still a plan and there is no concrete step yet that has been taken toward the actual creation of this state-sponsored digital currency. In fact, some analysts in the crypto field are saying that it will take many years before china will finally release their digital yuan. This news is going out in the open once again because of the announcement of the president.

Old news but recently it looks like they are going to release it the soonest. However, we has seen many governments around the globe who also did launch their your crypto but so far I haven't heard any success story. Anyways, I had a feeling that Chinese government wanted to have their own just to test how their population will react to it. I mean they have been one of the prime movers before, specially that they have the majority of bitcoin mining operations. But since 2017, they have been anti-bitcoin or at least doesn't want a coin that is decentralised. And that's why finally they have decided to release their own crypto and see if their people are going to invest on it just like what they are doing with Bitcoin.

[romero121]

Probably that's true China being a giant in the world market will always keep themselves advanced. Whether they went for such a long research or not, but when they find it necessary they implement it. Now that's what happening with the launch plan of DCEP from People's Bank of China. There were some talks about blockchain from the President which also gives an indirect confirmation of the launch of new cryptocurrency backed by a state.

This at any means will not disrupt the growth of bitcoin or other cryptocurrencies. I believe this will be similar to xrp, and gets used for all transactions within the country and cross border. One thing China will further recommend and force people to make use of it for better circulation. Anyhow this is going to be a Stablecoin in my view.

[Periodik]

This is an old news already. China has always been mumbling about creating its own cryptocurrency. But until now, this is still a plan and there is no concrete step yet that has been taken toward the actual creation of this state-sponsored digital currency. In fact, some analysts in the crypto field are saying that it will take many years before china will finally release their digital yuan. This news is going out in the open once again because of the announcement of the president.

Old news but recently it looks like they are going to release it the soonest. However, we has seen many governments around the globe who also did launch their your crypto but so far I haven't heard any success story. Anyways, I had a feeling that Chinese government wanted to have their own just to test how their population will react to it. I mean they have been one of the prime movers before, specially that they have the majority of bitcoin mining operations. But since 2017, they have been anti-bitcoin or at least doesn't want a coin that is decentralised. And that's why finally they have decided to release their own crypto and see if their people are going to invest on it just like what they are doing with Bitcoin.

How soonest is soonest? In 1 year's time? Or is it a couple of years from now? Half a decade or a full one? The government of China, its central bank to be exact, has already started doing research as early as 2014 on its grand plan to create their own digital currency based on their fiat. They wanted to start getting away from the paper money and shift to the latest trend. But until now, 5 years later, the news is still about the plan to launch it.