China

China’s Central Bank developing digital currency ‘DCEP’

While addressing a press conference, the Governor of the PBOC, Zhou Xiaochuan was asked about the development of digital currency. To which he responded that the People’s Bank of China had organized digital currency related seminars more than three years ago, followed by the establishment of a research institute and had jointly conducted R&D about distributed ledger technologies with the industry.

He disclosed that that there was a digital currency currently being developed by the Central Bank and it is called the DCEP –  Digital Currency, Electronic Payment.

While the governor maintains that the direct transactions between Bitcoin and other virtual currencies is not supported as well as the ability of raising funds through ICOs (Initial Coin Offerings), he finds “the development of digital currency is not only an inevitability of technological development, the traditional banknotes and coins may gradually shrink in the future, and may not even exist one day.”

But the Governor stands firm that the research on the direction of virtual assets transactions needs to be more prudent especially with respect to the implementation in big countries like China. He stressed that the bank would still need to consider the overall financial stability and prevent the inherent risks involved in such technical solutions to safeguard consumers. A hasty implementation would lead to many consumer suffering losses. The digital currency is gradually being tested and will be implemented and promoted only when it is reliable. It will serve the real economy and prevent it from becoming a product of excessive speculation.

It should be able to provide convenience and lower the cost associated with retail payment systems. It must also be secure and provide privacy to the people without clashing with the financial stability of the country.

A plan for R&D for implementing the currency will be introduced at a future date.

 

 


Discuss this news on our Telegram Community. Subscribe to us on Google news and do follow us on Twitter @Blockmanity

Did you like the news you just read? Please leave a feedback to help us serve you better

Disclaimer: Blockmanity is a news portal and does not provide any financial advice. Blockmanity's role is to inform the cryptocurrency and blockchain community about what's going on in this space. Please do your own due diligence before making any investment. Blockmanity won't be responsible for any loss of funds.

Abhishek Ajit

Abhishek was the co-founder of Blockmanity, he has a background in finance and has a good understanding of Bitcoin and other Cryptocurrencies from an economic standpoint. He is passionate about research and fundamental analysis.

Share
Published by
Abhishek Ajit
Tags: China

Recent Posts

Bullish Signals for Sui Blockchain: Top SUI meme projects of 2024

Macro guru and Real Vision CEO Raoul Pal shone the spotlight on a rising layer-1…

2 months ago

AI Companions: A New Era of Digital Relationships and Virtual Experiences

As the technology landscape transforms at lightning speed, AI Companions has positioned itself as a…

2 months ago

zkCross Network: Simplifying DeFi Complexity and Achieving Fundraising Success

Did you know that 85% of DeFi value is concentrated in six blockchains?  DeFi is…

2 months ago

Don’t Miss Out: Get $CLP Tokens in the Exclusive RWA IDO Now!

CLAPART - a groundbreaking RWA platform has launched its much-anticipated $CLP token IDO on Gempad…

3 months ago

Step into the Future of Web3 at Blockchain Futuristic Conference 2024, August 13-14

Join us at BFC 2024 to explore the future of Web3. Use a special discount…

4 months ago

WebX Asia 2024: Web3 Innovation Ignites in Tokyo

Catch all the updates with Altcoin Observer, official media partner of WebX Asia 2024. Gear…

4 months ago