China continues with plans to take over Blockchain technology
The China cryptocurrency relationship has not always seen smooth waters, but as a country of innovation and future thinking, there was no possible path where they wouldn’t adopt Blockchain technology.
China isn’t new to the unlimited potential of the digital world, utilizing technologies such as AI and holograms frequently, but they didn’t take too fondly to Blockchain technology at first. The first cryptocurrency to surface was Bitcoin, acting as a global currency free of central control, governments were sure to be skeptical of any currency taking away from their own. Some countries have held up their regulations while China has been brainstorming ways to work with Blockchain technology. Initially, they imposed a ban on crypto and fiat trading as well as participation in ICOs, acting as a means of “protecting” local investors from fraudulent activities. The ban shook the cryptocurrency community, especially BTC users as most it’s mining was and is done in China. The vague ban around cryptocurrency lasted roughly 2 years, although it should be noted that China has always shown an interest in Blockchain technology, until they announced their Central Bank China cryptocurrency.
China cryptocurrency and more to come
The Central Bank of China is one of a few that have paid their way back to control, allowing them to make independent decisions and move forward without fear of external intervention. This made their national announcement of a China cryptocurrency even more thrilling as other continents turned a blind eye to Blockchain technology. The China cryptocurrency will be a state-backed token created by the Central Bank to advance the technical and financial presence of China. The crypto is being created as a means of combating the busy economy of China, operating alongside industry leaders such as Alibaba, Tencent, and Union Pay to expand and spread their token. The China cryptocurrency is designed to account for 300,000 transactions per second. In addition to a state-backed crypto, the president of China has also come forward to give his praise to the potential of Blockchain technology and enforcing laws to excel its adoption with the country, stating:
“Major countries are stepping up their efforts to plan the development of blockchain technology. Greater effort should be made to strengthen basic research and boost innovation capacity to help China gain an edge in the theoretical, innovative and industrial aspects of this emerging field”
As plans for their state-backed crypto push forward and laws begin to adjust, this is a massive move for China and Blockchain technology. The country is enthusiastic about incorporating Blockchain technology to the best of its abilities, hopefully, backed by transparency and security, but they are still skeptical of cryptocurrency trading. China has now recently called for data collections from cryptocurrency exchanges, the nature of the data being retrieved has not yet been announced, and people do not know who will be affected by this ‘audit’. District regulators in Shanghai are being asked to look for and note any entity engaging in or organizing digital asset trading platforms or ICOs. What will be done with said information is still unknown but we can only hope China continues forward with their Blockchain positive attitude and allow their people a fair and free space to grow in. You can learn more about the China cryptocurrency relationship as updates surface, stay updated on everything Blockchain technology by following our crypto clothing shop.