China’s cryptocurrency to resemble Facebook’s Libra-Not a direct copy


  • PBOC intends to have the digital asset launched on WeChat, Alipay, Alibaba, and other online platforms.
  • The digital tokens will function even without an internet connection.

China continues to make headlines for the ambitious own cryptocurrency project. The said digital asset will be issued by the People’s Bank of China (PBOC) and will have similarities with Libra, the proposed digital asset by Facebook. The government intends to have the digital asset launched on WeChat, Alipay, Alibaba, and other online platforms.

According to the deputy director of PBOC Mu Changchun, the digital asset will ensure the sovereignty of China’s foreign exchange is guarded.

“Why is the central bank still doing such a digital currency today when electronic payment methods are so developed?” Mu asked lecture he gave earlier this week.

“It is to protect our monetary sovereignty and legal currency status. We need to plan ahead for a rainy day,” he continued.

China’s digital currency will have the security of bank-issued notes. Moreover, the tokens will work even without an internet connection. Mu adds that the token will have some resemblance with Libra although do not expect it to be a direct copy.

On the other hand, Facebook continues to struggle with regulatory concerns. Regulators say that Facebook could rise to financial dominance and could easily be a conduit for money laundering. Consequently, Facebook is acting fast by hiring top lobbyists to seek approval to go ahead with the project's launch.

 

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Bitcoin ready for bullish continuation as crypto bull cycle pauses

The cryptocurrency market has taken a hiatus after a gruesome week of overbearing declines. Bitcoin failed to break the resistance at $52,000 but headed south, resting the support at $45,000.

More Bitcoin News

XLM on the brink of a 45% collapse, shows technicals

Stellar price already had a significant 50% sell-off from its top of $0.60 but the bears could be eying up even more. There is a lot of downside potential for XLM as several indicators show it could be poised for another leg up.

More Stellar Lumens News

LTC whales go into a buying spree, eying up $260

Litecoin price remains bounded inside an ascending parallel channel on the 12-hour chart after a significant sell-off from $247 down to $157. It seems that LTC whales have taken advantage of the recent dip to buy even more.

More Litecoin News

DEXTF Protocol launches incentivization program on SushiSwap offering 376% APY

DeFi users will be able to generate massive returns as the SushiSwap Onsen protocol is about to offer a new incentivization program developed by DEXTF Protocol. 

More Sushi News

BEST CRYPTO BROKERS/EXCHANGES




Bitcoin Weekly Forecast: BTC journey to $100,000 might be easier than expected

This past week has been extremely beneficial for Bitcoin which jumped by 30% since Monday 8. Several positive announcements, especially Tesla purchasing $1.5 billion worth of the digital asset propelled the flagship cryptocurrency to new highs.

Read the weekly forecast

BTC

ETH

XRP