Bank of China Interprets Bitcoin and Digital Yuan

Wang Xin, Director of the Bank of China Research Bureau, said interest in the digital yuan project is growing. The Central Bank official explained that one of the things that triggers this could be the rise in bitcoin price.

China is one of the first names to take action in this area with the digital central bank money (CBDC) it started to develop in 2014. The Central Bank, which distributed $ 1.5 million in digital yuan for testing in Beijing in February, announced that these tests will continue.

The rise of bitcoin may have affected

“Everyone follows the digital yuan closely,” said Wang Xin, a Central Bank official, according to CNBC’s report. He said that the interest shown in the project grew.

It was stated that one of the reasons for this may be the increase in the number of countries trying to issue their own digital currency. In recent months, countries such as the USA, Japan, and the United Kingdom have started various studies for CBDC.

Another reason people are getting interested in the digital yuan, according to Wang, may be the rise in bitcoin price. Digital yuan; It differs from Bitcoin in terms of being decentralized and not blockchain-based.

China had decided to close the Bitcoin exchanges in the country in 2017.

Digital yuan tests will continue

China, which has organized tests in cities such as Shenzhen and Chengdu as well as Beijing, announced that these studies will continue. The public tests “will grow in scale,” Wang said.

The Bank of China aims to get citizens to use the digital yuan, which is not yet clear when it will be completed.



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