China Confirms its CBDC is Similar to Facebooks Libra | BTCMANAGER
Bitcoin, Blockchain & Cryptocurrency News
China’s upcoming digital currency is reportedly going to be very similar to Libra in terms of network design, but it will take a more holistic approach to find harmony between money-laundering prevention and anonymous payments. EJ Insight reports that the country initially set up a research team to launch a digital currency back in 2014, with the goal of reducing the costs associated with circulating paper money, September 6, 2019.
Public Sector Libra
By now it’s certain that most central bank digital currency (CBDC) offerings will be eerily similar to Libra, but will be trusted more simply because of the organizations that are launching it.
The Chinese digital currency efforts will be unbridled relative to Libra, as nobody can really suppress the autonomy of a sovereign entity.
Mu Changchuan, deputy director of the People’s Bank of China (PBoC) gave a lecture this week, where he detailed why China is focusing on digital currency. The gist of it is, more or less, that China wants to think ahead and carve a plan for the future that puts them on top.
The digital currency will be distributed to the public through state-run banking channels and widely adopted payment services like Tencent, Alipay, and WeChat.
Analysts believe China accelerated its effort after the announcement of Libra. If this is the case, the Chinese government must be sighing a breath of relief as Libra gets scorned upon by regulators across the globe.