China’s Central Bank said in a statement that China should be the first country to issue crypto money. According to officials, China’s being the first is one of the important moves that will bring the yuan to the international arena.
The article published in China Finance magazine published by the Bank of China (PBOC) evaluated the studies on digital currencies of central banks. In the article, it is stated that the digital money sector will become a “battlefield”; It was claimed that countries will fight each other in this field.
China Must Take Quick Hand To Be The First
The magazine, affiliated with the Central Bank of China, said that digital central bank money could bring fundamental changes to the international financial sector. It was emphasized that these changes could be in favor of China and the country should “speed up” its digital money efforts.
Digital currencies provide many different advantages to central banks. China Finance stated that the Central Bank of China could change its monetary policies more effectively with such a digital currency, which could accelerate the economic recovery process after the coronavirus.
Sources like Reuters emphasized the ‘battlefield’ analogy for digital currencies in this article. In China Finance’s article, it was stated that China is in a struggle with dollar hegemony. It was mentioned that China can benefit from digital currencies in this struggle and that the yuan will be in a better position in the international arena in case of transition to this digital currency.
China Started Trials
China announced last month that it has begun trials for digital central bank money. For the first stage, 4 regions were determined for these studies to be implemented on small scales. In these regions, including cities where the 2022 Winter Olympics will take place, trials are being prepared for small-scale businesses and some municipal organizations. Although it is not clear when the digital yuan will be used exactly, it is predicted that activities will begin in the next year or at the beginning of 2022, according to reports from local sources.