Governments and central banks worldwide have fought to grapple with the rising popularity of cryptocurrencies; but something is certain, all have adopted blockchain.
The Chinese authorities have been encouraging blockchain initiatives and embracing the technologies. Actually, the People’s Bank of China (PBoC) are operating on a digital money and have ran mock transactions with a few of the nation’s commercial Create a Cryptocurrency. It’s still unconfirmed when the electronic money is going to be decentralized and provide attributes of cryptocurrency like anonymity and immutability. It would not come as a surprise when it ends up to be only a virtual Chinese Yuan since anonymity would be the final thing that China desires in their nation. But made as a close replacement of the Chinese Yuan, the electronic money is going to be exposed to present financial policies and legislation.
“Plenty of cryptocurrencies have witnessed explosive growth that may bring substantial negative influence on consumers and retail dealers. We do not enjoy (cryptocurrency) goods which use the massive chance for speculation which provides people the illusion of becoming rich overnight” Excerpts from Zhou Xiaochuan meeting on Friday, 9th March.
He also noticed that growth of this electronic money is’technologically unavoidable’
Hangzhou, renown to be the headquarters of Alibaba, also have said blockchain technologies to be among the city’s greatest priorities in 2018. The local authorities in Chengdu city also have been suggested the construction of an incubation centre to boost the adoption of blockchain engineering in the city’s fiscal services.
Local conglomerates such Tencent and Alibaba also have formed venture with blockchain companies or initiated projects by themselves. Blockchain companies like VeChain also have procured multiple partnerships with Chinese companies to boost supply chain transparency in China.
China has consistently had a receptive mentality to emerging technologies like mobile payment and Artificial Intelligence. Henceforth, it’s with no doubt that China is going to be the primary blockchain-enabled nation. Can we see the Chinese authorities backing down and allow its citizens trade ? Likely, once the market has grown and is not as volatile but certainly not in 2018.