Due to the nature of this post, it may convey some sensitive topics and pride (and bias) for open, free and democratic societies.
The most important news for digital currencies, blockchain technology and crypto's is a story that has gone largely unnoticed, under-the-radar,
https://www.coindesk.com/chinas-national-blockchain-will-change-the-world.
Without delving too deeply into territories that reveal my biases and obvious country of origins, this article by CoinDesk and other news crypto agencies is significant.
China has been increasingly delving down the path of weaponizing blockchain technology for economic gain and power. The history of technology and more recent discussions of surveillance are always highly controversial, but without getting to philosophical, it comes down to how the particular technology is put into use and for what primary purposes. This is generally the differences between authoritarian regimes and the west ~ whereby the west generally is more inclined for capital gains then
direct control of behaviors - or censoring and "
giving social credits" for acceptable cultural behaviors of said individuals. The west may be increasing moving in this direction, but it's nowhere on the caliber of the Communist Party of China (CCP). This topic in itself is a major issue and I will not delve too heavily further into this hotly and broad topic.
Since 2019, China's agenda was revealed to the world through blockchain technologies push, this was followed by a bull-rush into cryptocurrencies, which saw a 10k BTC, before retreating back. In essence, the objective of China currently is to create the world's largest integrated and interoperable blockchain, according to CoinDesk. This is set to launch July of this year and will emphasis and take advantage of Blockchain technologies on a scale we've never witnessed before. Little details are shared on how this blockchain will function, but the gist of it is that nodes will be controlled by centralized telecom and external agencies, under the authority of CCP (Chinese Communist Party). The implementation will allow for robust technologies, cloud computing and etc, all the benefits of blockchain with "transparency," efficiency and reduced costs. The primary objective of such a system is to be integrated into external countries, for the same benefits.
It all sounds amazing, no doubt. But now the kicker.As many of us come to know and understand, 51% attacks on any network remains a real threat and the greatest security risk undermining any blockchain, or DLT (Hyperledger) technology. Therefore, if a malicious actor sought to control the network, in this instance CCP, they could do so by having full authority of doing so. The way China operates, according to most western investigations, reports and intelligence is that all companies operating in China are beheld to China's authority, from Telecom's to every industry operating (
which is why you hear about Huawei and etc. being a security threat to the western world).
China will assume to incorporate this DLT technology, therefore with it's independent (or dependent on CCP) will in effect be a 100% controlled and closed system at their discretion, or this is how the article is interpreted. We still know very little of what China is developing, what interoperability will look like and etc, but a formal infant conclusion can be drawn to a centralized, controlled and closed DLT system, with the full authority and surveillance of the CCP; similar to most of their behaviors and actions in the last decade and increasingly in the last 5 years or so on their people.
Blockchain technology, in effect by China, is becoming a weapon for power, control and monetary control. A highly critical threat. This also includes their digital currency RMB, which has also been more relevant then this news.
It also appears that Chinese crypto companies, Binance and others may be under-pressure (this is a conspiracy theory by me btw, but does not go unwarranted) and continue their expansions on the cryptocurrency front, to monopolize the industry entirely. As recently reported on
Binance's continued monopolistic tendencies, but, the safe-guard is they are operating out of the democratic, but increasingly pressured Hong Kong.
What does this essentially meansCurrently, there's no region or country aside from China, who's this bullish and sought to integrate a centralized blockchain or DLT system to this level. They are years ahead of the rest of the world. The U.S. and the rest of the world is still ignorantly "assessing and analyzing" the benefits of such systems and for good reason. Blockchain integration is mostly untested, but furthermore the resources and capacity to understand the benefits of blockchain technology or even the ability to harbor companies exploring and advancing the industry forward is still in a highly premature state, with over-regulation destroying most crypto-based companies operating in the U.S. Obviously, there were many reasons for this, but the SEC has recently drawn back their stance, but still remain as vigorous as effort in their continued malignant and blind ambitions for regulations and control.
Everything is still mostly untested in real-world scenarios, but if anyone has any inclination to blockchain technology, then this should be a cause for alarm for all western nations, who remain as ignorant and blind in their actions as ever, even in regards to the newest and most exciting technical frontier in the last decade - Bitcoin and the advent of Blockchain Technology -- The advancements in this space from hundreds of teams that continue to propel this entire space to the future, businesses in which you and I are invested in --- cryptocurrency projects.
This post is not complete by any means, as we have no idea of what this system will entail or what's being developed behind closed doors, but it is still something to greatly consider where the entire crypto and blockchain industry is heading towards for the future; as I've always stated, governments and powers will be players in this space and that is coming to fruition, for better or for worse.
Technology is controlled by humans, therefore its use and intent of use is solely predicated on those who use said technologies.
Don't mind my grammar, or loose thought processes, I don't particularly feel like checking this post at this time and it will be updated if users comment for clarity. I wanted to write this post to express some deeper thoughts and general insight.
