Digital Currency Revolution Series: China Getting Assertive on Cryptocurrency and Blockchain Corridor

It is worth noting that the world’s biggest economy appears to be assertive on blockchain and cryptocurrency gamut. Yes, we meant Chinese approach to blockchain adoption.

Following President Xi Jinping’s remarks on the adoption of blockchain technology, conducive regulatory frameworks on cryptocurrencies, CCP support on blockchain and the development of their sovereign digital asset, China appears to be the front runner to race up on the crypto nationalization.

The Chinese Prime Minister Xi Jingping’s recent statements were perceived to be major catalyst for the bitcoin’s rally tool its price back to $10k levels. He called for China to boost its adoption of blockchain, and to increase its use within China’s government, industry, and technology sectors. Consequently, the statement seemed to have stimulated the constructive speculation amongst crypto market participants. 

Quite a few analysts are even suggesting the Chinese government is planning to accumulate Bitcoin, and others expecting a wave of new investment into Chinese blockchain companies.

Commentators have pointed out that President Xi’s comments referred specifically to blockchain technology - there was no mention of Chinese government interest in public blockchains like Bitcoin. This implies that the move was primarily driven by trader speculation as opposed to fundamentally led investors. It appears that it wasn’t only the Chinese news event driving the bullish price activity. 

While at the China’s week for blockchain, their central bank, People’s bank of China (PBoC), launched a new certification program to regulate digital currency payments in the country.

The official report released in a filing dated Oct. 26 states that the norms and laws would be articulated and approved by the concerned authorities. The “Certification of Fintech Products” will verify and certify 11 financial technology classes including digital payments.

Yesterday, the name of the digital currency to be launched by the People’s Bank of China, DCEP, was publicly announced by Huang Qifan, Vice Chairman of CCIEE, a Chinese think tank with ties to the Chinese government.

As per the Chinese media report, he further went on to add his comments at the first Bund Financial Summit stating: “I think the technology is getting more mature, and it is highly likely that China’s central bank will be the first to issue a national digital currency.”