There are no mixed signals with regards to blockchain and crypto coming from China at the moment. The People’s Republic is full steam ahead on distributed ledger technology as it prepares to ready its population for its own central bank crypto currency. A Chinese war on cash could be the start of a global crypto revolution as the rest play catch-up.
Crypto Yuan The New Global Reserve?
Financiers and regulators in the US should be afraid. While they stumble over their own bureaucracy, the rest of the world is steaming ahead with research and development into blockchain technology and crypto assets.
China still wants nothing to do with Bitcoin, that much is true. The regime cannot control it and has little influence over where it flows. What it does want is becoming more apparent, and that is to become the next global currency reserve and have tighter control over its people. In order to do both, it must usurp the dollar and win the digital currency race, which it appears to be already streets ahead in.
A war on cash would represent a new escalation in Beijing’s long history of weaponizing currency against the population according to ZeroHedge. A blockchain based digital currency grants the regime more information on what its people are doing with their money than anything envisaged before. A cashless society is the ultimate goal for any government given its surveillance advantages, and many including China are racing towards that goal.
China’s economy is not immune from the economic woes that are hampering the West. Household debt is increasing and the People’s Bank of China has had to take measures to cut rates. According to CNBC China’s central bank unexpectedly trimmed a closely watched lending rate on Monday,